Planning Commission — Thursday, March 10, 2022

Memorandum Item 1 9:00 a.m. January 27, 2022 continued to March 10, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Eric Porter, Associate Planner DATE: January 27, 2022 continued to March 10, 2022 SUBJECT: KLS-RBS LLC, MMU 20-11; IS 20-110 amending UP 18-25 APN: 011-004-60. Location: 9475 Bottle Rock Road, Kelseyville Supervisorial District 5 ATTACHMENTS: 1. Vicinity Map 2. Agency Comments 3. Site Plan, Elevations 4. Original Conditions of Approval 5. Original Public Comments 6. Initial Study IS 20-110 7. New Public Comments 8. Violation Site Visit Photos and Documentation This staff report includes seven sections (Sections I through VII). Section I provides an executive summary of the proposed project; Section II provides site specific details of the proposed project. Section III describes provides the findings for approval of a modification and a description of how this project responds to each. Section IV provides a summary of the potential environmental impacts and mitigation measures to reduce those impacts in compliance with the California Environmental Quality Act (CEQA), as covered in the initial study. Section V contains new public comments. Section VI includes recommendations on actions that the Planning Commission can take for the proposed project; and Section VII provides staff recommendations with sample motions. I. EXECUTIVE SUMMARY The prior property owner has received two use permits (UP 18-25 and MUP 19-09) for commercial cannabis cultivation on the subject site. The site originally consisted of three lots that were merged into one lot in year 2018 through file no. VM 18-15. The prior owner then constructed an 8100 sq. ft. 'drying building' without land use approval or building permits, then sold the property to the current owners. The new building is 'non-conforming'; it is within the Scenic Combining Overlay District, which limits accessory building heights to 15 feet (this building is 26 feet tall), and to a size of 5,000 sq. ft. (this building is 8,100 sq. ft. in size). The property was then red-tagged by the County Building Official in May 2020 because it was built with no building permits. (Attachment 8). The new property owners then applied for a building permit for the new building, however this building did not have land use approval, and Planning was unable to sign the building permit, which has sat idle since year 2020 to allow the property owner an opportunity to seek a land use remedy to the building. The current property owners ultimately applied for a minor modification to the Use Permit, UP 18-25, which was approved by the Lake County Planning Commission on February 14, 2019 in an attempt to bring the building into conformance, however the modification process does not offer any way of 'correcting' non-conforming buildings. The applicant could apply for a new use permit and a variance, however variances are not designed to correct situations such as this one. Minor modifications to approved land use action rely on Article 60.33, "Amendments" of the Lake County zoning ordinance allows for amendments to issued use permits through the amendment process. The Planning Commission continued this item from January 27, 2022 to March 10, 2022 to enable the applicant and staff an opportunity to see whether there were any way of somehow allowing the building under current codes. Staff suggested that the applicant provide a visual analysis of the site as viewed from public roads (Bottle Rock) and neighboring lots. As of March 2, 2022, the applicant has not provided any analysis. Also, even if the Scenic Combining overlay zone stops short of the building, the 26' tall building still would not meet accessory buildings' 20' height limit, and a minor use permit would only allow a 15% height increase. The building would not comply even with these factors taken into consideration because of its height. The Planning Commission now needs to decide whether to allow a building that does not comply with the height and size requirements found in Article 34, 'SC - Scenic Combining District' regulations for accessory buildings. V. RECOMMENDATION. Staff recommends the Planning Commission: A. Do Not Adopt Mitigated Negative Declaration (IS 20-110) for Modification MMU 20-11 based on the following findings: 1. The site is located in the Scenic Combining Overlay District (Article 34) of the Lake County Zoning Ordinance. The building does not comply with Article 34 in terms of height and size, and there does not appear to be any way of modifying the building in a manner that would make it compliant. 2. The 26' height of the accessory building is 11 feet taller than the 15' tall accessory building height allowed in the Scenic Combining Overlay District. 3. The structure cannot be mitigated to comply with the Aesthetics portion of the CEQA evaluation or with Article 34 of the Lake County Zoning Ordinance unless the building height is reduced to 15 feet. B. Deny the Modification, MMU 20-11 with the following findings: 1. That the establishment, maintenance, or operation of the use applied for will under the circumstances of the particular case, will be detrimental to the health, safety, morals, comfort and general welfare of the persons residing or working in the neighborhood of such proposed use, and will be detrimental to property and improvements in the neighborhood or the general welfare of the County. 2. That the project is not in conformance with the applicable provisions and policies of Articles 7, 34 and 60.33 of the Lake County Zoning Ordinance. VI. SAMPLE MOTIONS: Mitigated Negative Declaration (IS 20-110) I move that the Planning Commission find that that the Initial Study (IS 20-110) prepared for the project submitted by KLS-RBS LLC on a property located at 9475 Bottle Rock Road, Kelseyville, further described as APN: 011-004-60 will have a significant effect on the environment, and therefore a mitigated negative declaration shall not be adopted based on the findings listed in the staff report dated March 10, 2022. Modification (MMU 20-11) I move that the Planning Commission find that the Modification (MMU 20-11) applied for by KLS-RBS LLC on a property located at 9475 Bottle Rock Road, Kelseyville, further described as APN: 011-004-60 does not meet the requirements of Articles 34 and 60.33 of the Lake County Zoning Ordinance and the Modification MMU 20-11 be denied with prejudice based on the findings listed in the staff report dated March 10, 2022. NOTE: The applicant or any interested person is reminded that the Zoning Ordinance provides for a seven (7) calendar day appeal period. If there is a disagreement with the Planning Commission's decision, an appeal to the Board of Supervisors may be filed. The appropriate forms and applicable fee must be submitted prior to 5:00 p.m. on or before the seventh calendar day following the Planning Commission's final determination.

Memorandum Item 2 9:05 a.m. STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Eric Porter, Associate Planner DATE: March 10, 2022 RE: Walnut Ranch / Omar Malfavon * Major Use Permit (UP 20-24) * Initial Study (IS 20-27) Supervisor District 3 ATTACHMENTS: 1. Vicinity Map 2. Site Plans 3. Property Management Plan 4. Agency Comments 5. Proposed Conditions of Approval 6. Initial Study 7. Public Comments 8. Water Analysis 9. Temporary Dwelling Permit for RV, dated March 16, 2020 This staff report includes nine sections (Sections I through IX). Section I provides an executive summary of the proposed project, and includes summary of the water analysis, power analysis, general / construction information, post-construction operations. Section II provides site specific details of the proposed project, and the surrounding uses and zoning. Section III provides the project analysis and conformance with the General Plan, Upper Lake-Nice Area Plan, and the applicable sections of the Zoning Ordinance. Section IV evaluates compliance with required findings for a major use permit as found in Article 51.4 of the Zoning Ordinance. Section V evaluates compliance with findings for commercial cannabis cultivation projects as found in Article 27(at). Section VI provides a summary of the potential environmental impacts and mitigation measures to reduce those impacts in compliance with the California Environmental Quality Act (CEQA), as covered in the initial study. Section VII lists the public comments that were received for this project. Section VIII includes recommendations on actions that the Planning Commission can take for a decision of a major use permit. Section IX provides recommended motions for an approval decision of the proposed project. I. RECOMMENDATION. Staff recommends the Planning Commission: A. Adopt mitigated negative declaration (IS 20-27) for Major Use Permit (UP 20-24) with the following findings: 1. Potential environmental impacts related to aesthetics can be mitigated to less than significant levels with the inclusion of mitigation measures AES-1 and AES-2. 2. Potential environmental impacts related to air quality can be mitigated to less than significant levels with the inclusion of mitigation measures AQ-1, AQ-2, AQ-3, AQ-4, AQ-5, AQ-6 and AQ-7. 3. Potential environmental impacts related to Biological Resources can be mitigated to less than significant levels through mitigation measures BIO-1, BIO-2 and BIO-3. 4. Potential environmental impacts related to Cultural / Tribal Resources can be mitigated to less than significant levels through mitigation measures CUL-1 and CUL-2. 5. Potential environmental impacts related to Energy Resources can be mitigated to less than significant levels through mitigation measure EN-1. 6. Potential environmental impacts related to Hydrological and Water Qualtiy Resources can be mitigated to less than significant levels through mitigation measure HYD-1. 7. Potential environmental impacts related to Noise can be mitigated to less than significant levels through mitigation measures NOI-1, NOI-2 and NOI-3. 8. Potential environmental impacts related to Wildfire can be mitigated to less than significant levels with the inclusion of mitigation measures WILD-1, WILD-2 and WILD-3. 9. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. 10. Any changes to the project will require either an amended Use Permit and/or a new Use Permit unless the Community Development Director determines that any changes have no potential increased environmental impacts. B. Approve Major Use Permit UP 20-24 with the following findings: 1. That the establishment, maintenance, or operation of the use applied for will not under the circumstances of the particular case, be detrimental to the health, safety, morals, comfort and general welfare of the persons residing or working in the neighborhood of such proposed use, or be detrimental to property and improvements in the neighborhood or the general welfare of the County. 2. The site is adequate in size, shape, locations, and physical characteristics to accommodate the type of use and level of development proposed. 3. The streets, highways and pedestrian facilities can be mitigated to be reasonably adequate to safely accommodate the proposed use. 4. That there are adequate public or private services, including but not limited to fire protection, water supply, sewage disposal, and police protection to serve the project. 5. That the project is in conformance with the applicable provisions and policies of this Code, the General Plan and any approved zoning or land use plan. 6. That no violation of Chapters 5, 17, 21, 23 or 26 of the Lake County Code currently exists on the property, unless the purpose of the permit is to correct the violation, or the permit relates to a portion of the property which is sufficiently separate and apart from the portion of the property in violation so as not to be affected by the violation from a public health, safety or general welfare basis. 7. The proposed use complies with all development standards described in Article 27, Subsection (at), Section 1.i 8. The applicant is qualified to make the application described in Article 27, Subsection (at), Section 1.ii.(g) 9. The application complies with the qualifications for a permit described in Article 27, Subsection (at), Section 1.ii.(i) II. SAMPLE MOTIONS Mitigated Negative Declaration I move that the Planning Commission find that the Initial Study (IS 20-27) applied for by Walnut Ranch Farms on property located at 12182 White Rock Canyon Road and 12206 Elk Mountain Road, Upper Lake, and further described as APNs: 022-010-04 and 022-010-05 will not have a significant effect on the environment and therefore a mitigated negative declaration shall be approved with the findings listed in the staff report dated March 10, 2022. Major Use Permit (UP 20-24) I move that the Planning Commission find that the Major Use Permit (UP 20-24) applied for by Walnut Ranch Farms on property located at 12182 White Rock Canyon Road and 12206 Elk Mountain Road, Upper Lake, and further described as APNs: 022-010-04 and 022-010-05 does meet the requirements of Section 51.4 of the Lake County Zoning Ordinance and the Major Use Permit be granted subject to the conditions and with the findings listed in the staff report dated March 10, 2022. NOTE: The applicant or any interested person is reminded that the Zoning Ordinance provides for a seven (7) calendar day appeal period. If there is a disagreement with the Planning Commission's decision, an appeal to the Board of Supervisors may be filed. The appropriate forms and applicable fee must be submitted prior to 5:00 p.m. on or before the seventh calendar day following the Planning Commission's final determination.

Memorandum Item 3 9:10 a.m. March 10, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Eric Porter, Associate Planner DATE: March 10, 2022 RE: Red Hills, RHRP1; Major Use Permit (UP 20-81) and Initial Study (IS 20-97). APN: 009-022-54 (primary); 009-022-55, 009-056-01 Supervisor District 5 ATTACHMENTS: 1. Vicinity Map 2. Site Plans 3. Property Management Plan 4. Agency Comments 5. Initial Study IS 20-97 6. Hydrology Report; Chico Environmental; Aug. 4, 2021 7. Public Comments 8. Conditions of Approval This staff report includes ten sections (Sections I through X). Section I provides an executive summary of the proposed project; Section II provides site specific details of the proposed project, and the surrounding uses and zoning. Section III provides a description of the project. Section IV provides the project analysis and conformance with the General Plan, Kelseyville Area Plan, and the applicable sections of the Zoning Ordinance. Section V provides a summary of the potential environmental impacts and mitigation measures to reduce those impacts in compliance with the California Environmental Quality Act (CEQA), as covered in the initial study. Section VI evaluates compliance with required findings for a major use permit as found in Article 51.4 of the Zoning Ordinance. Section VII evaluates compliance with findings for commercial cannabis cultivation projects as found in Article 27(at). Section VIII lists the public comments that were received for this project (none have been received to date). Section IX includes recommendations on actions that the Planning Commission can take for a decision of a major use permit. Section X provides recommended motions for an approval decision of the proposed project. I. EXECUTIVE SUMMARY The applicant is requesting approval of a major use permit for: * Twenty-five A-Type 3 "medium outdoor" cultivation licenses consisting of thirty-five (35) acres (1,524,600 sq. ft.) of cultivation area * Total outdoor canopy area of twenty-five (25) acres (1,089,000 sq. ft.) * The proposed cultivation operation will be established in an already cleared area of the approved Bryant Stocking vineyard block development; and, * One (1) A-Type 13 Self Distribution license The cultivation and clustering properties have multiple addresses as follows: APN 009-022-54 (cultivation property): 8210 State Highway 175, Kelseyville, California APN 009-022-55: 8300 State Highway 175, Kelseyville, California APN 011-056-01: 8500 State Highway 175, Kelseyville, California II. RECOMMENDATION Staff recommends that the Planning Commission: A. Adopt mitigated negative declaration (IS 20-97) for Use Permit (UP 20-81) with the following findings: 1. Potential environmental impacts related to aesthetics can be mitigated to less than significant levels with the inclusion of mitigation measure AES-1. 2. Potential environmental impacts related to air quality can be mitigated to less than significant levels with the inclusion of mitigation measures AQ-1, AQ-2, AQ-3, AQ-4, AQ-5, AQ-6, AQ-7, AQ-8 and AQ-9. 3. Potential environmental impacts related to biological resources can be mitigated to 'less than significant' levels with the inclusion of mitigation measures BIO-1, BIO-2, BIO-3, BIO-4, BIO-5, BIO-6, BIO-7, BIO-8 and BIO-9 4. Potential environmental impacts related to cultural / tribal resources can be mitigated to less than significant levels with the inclusion of mitigation measures CUL-1, CUL-2 and CUL-3. 5. Potential environmental impacts related to Geological Resources can be mitigated to less than significant impacts with the inclusion of mitigation measures GEO-1 and GEO-2. 6. Potential environmental impacts related to Hazards and Hazardous Materials can be mitigated to less than significant levels with the inclusion of mitigation measures HAZ-1, HAZ-2, HAZ-3, HAZ-4, HAZ-5, HAZ-6, HAZ-7, HAZ-8 and HAZ-9. 7. Potential environmental impacts related to Hydrology can be mitigated to less than significant levels with the inclusion of mitigation measures HYD-1, HYD-2 and HYD-3. 8. Potential environmental impacts related to Noise can be mitigated to less than significant impacts with mitigation measures NOI-1 and NOI-2. 9. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. B. Approve Use Permit UP 20-81 with the following findings: 1. That the establishment, maintenance, or operation of the use applied for will not under the circumstances of the particular case, be detrimental to the health, safety, morals, comfort and general welfare of the persons residing or working in the neighborhood of such proposed use, or be detrimental to property and improvements in the neighborhood or the general welfare of the County. 2. The site is adequate in size, shape, locations, and physical characteristics to accommodate the type of use and level of development proposed. 3. The streets, highways and pedestrian facilities can be mitigated to be reasonably adequate to safely accommodate the proposed use. 4. That there are adequate public or private services, including but not limited to fire protection, water supply, sewage disposal, and police protection to serve the project. 5. That the project is in conformance with the applicable provisions and policies of this Code, the General Plan and any approved zoning or land use plan. 6. That no violation of Chapters 5, 17, 21, 23 or 26 of the Lake County Code currently exists on the property, unless the purpose of the permit is to correct the violation, or the permit relates to a portion of the property which is sufficiently separate and apart from the portion of the property in violation so as not to be affected by the violation from a public health, safety or general welfare basis. 7. The proposed use complies with all applicable development standards. 8. The applicant is qualified to make the application. 9. The application complies with the qualifications for a commercial cannabis permit. 10. Any changes to the project will require either an amended Use Permit and/or a new Use Permit unless the Community Development Director determines that any changes have no potential increased environmental impacts. III. SAMPLE MOTIONS Mitigated Negative Declaration I move that the Planning Commission find that the Initial Study (IS 20-97) applied for by RHRP1 LLC on property located at 8210, 8300, 8500 State Highway 175, Kelseyville, and further described as APNs: 009-022-54, 009-022-55 and 011-056-01 will not have a significant effect on the environment and therefore a mitigated negative declaration shall be approved with the findings listed in the staff report dated March 10, 2022. Major Use Permit (UP 20-81) I move that the Planning Commission find that the Use Permit (UP 20-81) applied for by RHRP1 LLC on property located at 8210, 8300, 8500 State Highway 175, Kelseyville, and further described as APNs: 009-022-54, 009-022-55 and 011-056-01 does meet the requirements of Section 51.4 of the Lake County Zoning Ordinance and the Major Use Permit be granted subject to the conditions and with the findings listed in the staff report dated March 10, 2022. NOTE: The applicant or any interested person is reminded that the Zoning Ordinance provides for a seven (7) calendar day appeal period. If there is a disagreement with the Planning Commission, an appeal to the Board of Supervisors may be filed. The appropriate forms and applicable fee must be submitted prior to 5:00 p.m. on or before the seventh calendar day following the Commission's final determination.

Memorandum Item 4 9:15 AM March 10, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: LACO Associates Assigned Planner: Andrew Amelung, Cannabis Program Manager DATE: March 10, 2022 RE: High Valley Oaks, LLC � Major Use Permit (UP 20-21) � Initial Study (IS 20-24) Supervisor District 3 - Eddie "EJ" Crandell Planning Commission - Batsulwin Brown ATTACHMENTS: 1. Property Management Plan 2. Proposed Site Plans 3. Proposed Conditions of Approval 4. Initial Study 5. Agency & Public Comments 6. Biological Assessment 7. Hydrology Report 8. Site Photos 9. Scenic Combining District Map & Site Plan I. EXECUTIVE SUMMARY The proposed cultivation project will take place on a single, 81.65-acre parcel located at 9850 High Valley Road, Clearlake Oaks, California, further described as Assessor's Parcel Number 006-004-19. The total proposed project premise includes approximately six (6) acres of cultivation area and four (4) acres of cannabis canopy. The cannabis plants will be grown in the existing native soil and cultivated under direct sunlight. The proposed cultivation canopy area will be located within three fenced-in cultivation areas, and improvements with the cultivation area include an existing 200 sq. ft. stormproof shed for office and security use; a 64 sq. ft. stormproof shed for chemical, pesticide, and hazardous materials; a 160 sq. ft. container for equipment storage, an existing 320 ft. permitted groundwater well with a maximum yield of approximately 100 gallons per minute, and a five horse-power pump with a yield of 43 gallons per minute; an existing well reserved for backup use; an irrigation system using water pumps, polyvinyl chloride (PVC) piping, black poly tubing and drip tape; four 5,000 gallon water storage tanks for irrigation; four 1,050 gallon mixing tanks for irrigation; two employee parking areas with approximately 12 parking spaces including an ADA compliant space; a portable solar generator with batteries on a trailer bed; two temporary structures for drying and curing cannabis; and a 160 sq. ft. harvest storage area. Figure 1. High Valley Oaks Site Plan RECOMMENDATION Staff recommends the Planning Commission take the following actions. A. Adopt Mitigated Negative Declaration (IS 20-24) for Major Use Permit (UP 20-21) with the following findings: 1. Potential environmental impacts related to aesthetics can be mitigated to less than significant levels with the inclusion of mitigation measures AES-1, AES-2, AES-3, and AES-4. 2. Potential air quality impacts can be mitigated to less than significant levels with the inclusion of mitigation measures AQ-1, AQ-2, AQ-3, AQ-4, AQ-5, and AQ-6. 3. Potential biological impacts can be mitigated to less than significant levels with the inclusion of mitigation measure BIO-1, BIO-2, and BIO-3. 4. Potential environmental impacts related to cultural and Tribal resources can be mitigated to less than significant levels with the inclusion of mitigation measures CUL1 and CUL-2. 5. Potential geology and soils can be mitigated to less than significant levels with the inclusion of mitigation measures GEO-1, GEO-2, GEO-3, GEO-4, GEO-5, GEO-6, and BIO-3. 6. Potential hazards hazardous materials can be mitigated to less than significant levels with the inclusion of mitigation measures HAZ-1, HAZ-2, HAZ-3, HAZ-4, HAZ-5, HAZ6, HAZ-7, and HAZ-8. 7. Potential hydrology and water quality impacts can be mitigated to less than significant levels with the inclusion of mitigation measures HYD-1, HYD-2, HYD-3, and HYD-4. 8. Potential noise impacts can be mitigated to less than significant levels with the inclusion of mitigation measures NOI-1 and NOI-2. 9. Potential impacts to utilities can be mitigated to a less than significant level with the inclusion of HYD-1, HYD-2, HYD-3, and HYD-4. 10. Potential wildfire impacts can be mitigated to less than significant levels with the inclusion of mitigation measures WDF-1, WDF-2, and WDF-3. 11. This project is consistent with land uses in the vicinity. 12. This project is consistent with the Lake County General Plan, Lakeshore Communities Area Plan, and Zoning Ordinance. 13. Any changes to the project will require either an amended Use Permit or a new Use Permit unless the Community Development Director determines that any changes have no potential environmental impacts. 14. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. B. Approve Major Use Permit UP 20-21 with the following findings: 1. That the establishment, maintenance, or operation of the use applied for will not under the circumstances, be detrimental to the health, safety, morals, comfort and general welfare of the persons residing or working in the neighborhood of such proposed use or be detrimental to property and improvements in the neighborhood or the general welfare of the County. 2. The site is adequate in size, shape, locations, and physical characteristics to accommodate the type of use and level of development proposed. 3. The streets, highways and pedestrian facilities are reasonably adequate to safely accommodate the proposed use. 4. There are adequate services to serve the project. 5. This project is consistent with the Lake County General Plan, Shoreline Communities Area Plan, and Lake County Zoning Ordinance. 6. No violation of Chapter 5, 17, 21, 23 or 26 of the Lake County Code currently exists on this property, with a condition of approval implemented. 7. The proposed use complies with all development standards described in Chapter 21, Article 27, Section 1.i. 8. The applicant is qualified to make the application described in Chapter 21, Article 27, Section 1.ii.(g). 9. The application complies with the qualifications for a permit described in Chapter 21, Article 27, Section 1.ii.(i). Sample Motions: Mitigated Negative Declaration I move that the Planning Commission find that the Major Use Permit (UP 20-21) applied for by High Valley Oaks, LLC on property located at 9850 High Valley Road, Clearlake Oaks, further described as APN: 006-004-19 will not have a significant effect on the environment and therefore a mitigated negative declaration shall be approved with the findings listed in the staff report dated March 4, 2022. Major Use Permit (UP 20-74) I move that the Planning Commission find that the Major Use Permit (UP 20-21) applied for by High Valley Oaks, LLC on property located at 9850 High Valley Road, Clearlake Oaks, further described as APN: 006-004-19 does meet the requirements of Section 51.4 and Article 27, Section 1 [i,ii(g),i(ii)] of the Lake County Zoning Ordinance and the Major Use Permit be granted subject to the conditions and with the findings listed in the staff report dated March 4, 2022. NOTE: The applicant or any interested person is reminded that the Zoning Ordinance provides for a seven (7) calendar day appeal period. If there is a disagreement with the Planning Commission, an appeal to the Board of Supervisors may be filed. The appropriate forms and applicable fee must be submitted prior to 5:00 p.m. on or before the seventh