Planning Commission — Thursday, February 24, 2022

Memorandum Item # 1 9:00 a.m. February 24, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Sateur Ham, Assistant Planner DATE: January 13, 2022 RE: North Coast Select, Major Use Permit (UP 20-75), Initial Study (IS 20-88) Supervisor District Tina Scott Planning Commissioner Christina Price ATTACHMENTS: 1. Vicinity Map 2. Property Management Plan 3. Proposed Site Plans 4. Proposed Conditions of Approval 5. Site Visit Photos 6. Initial Study 7. Agency Comments/Public comments I. EXECUTIVE SUMMARY North Coast Select, Inc. is seeking approval for a Major Use Permit to cultivate cannabis with a 70,560 square feet canopy area and a 168,680 square feet cultivation area. The project site is located at 1496 Bell Hill Road, Kelseyville, CA, with assessor's parcel number (APN) 017-002-02, and zoning as follows: * (3) A-Type 3B: "mixed-light" license: Greenhouse cultivation for adult-use cannabis with the use of artificial lighting in the canopy area from 10,001 square feet to 22,000 square feet The applicant proposes 66,000 square feet of mixed-light canopy area within eight (8) 96' x 140' greenhouses. * (2) A-Type 1C: "mixed-light specialty cottage" license: Greenhouse cultivation for adult-use cannabis with the use of artificial lighting in the canopy area up to 2,500 square feet The applicant proposes the remaining 4,560 square feet of mixed-light canopy area within one (1) of the eight (8) 96' x 140' greenhouses. * A-Type 13 Self Distribution license The project also proposes: ? (4) 96 feet x 140 feet immature plant greenhouses ? (1) 50 feet x 100 feet processing facility with ADA-compliant restroom ? (1) 40 feet x 60 feet drying building ? (32) 2,500-gallon water tanks, one being steel or fiberglass for fire suppression where every four water tanks will be situated adjacent to each greenhouse structure ? (1) existing on-site well for water use ? 20 feet-wide access driveway from Bell Hill Rd. ? (18) employee parking spaces, including one (1) ADA-compliant parking space ? (1) loading zone ? Perimeter fence and security cameras The proposed stages of development is as described in the table below: Stages Description 1 Once the Permit is fully approved, North Coast Select will apply for the building permits for the first proposed 96 feet x 140 feet greenhouse and 40 feet x 60 feet drying building. Four (4) 2,500 water tanks will be located adjacent to the greenhouse. The canopy area will be 8,820 square feet with a cultivation area of 15,840 square feet. 2 In the second year, two (2) additional 96 feet x 140 feet greenhouses and one (1) 96 feet x 140 feet immature plant greenhouse will be built. Eight (8) additional 2,500-gallon water tanks will be added. The canopy area will total 26,460 square feet with a cultivation area of 56,160 square feet. 3 In the third year, three (3) additional 96 feet x 140 feet greenhouses, 1 additional 96 feet x 140 feet immature plant greenhouse, and the 50 feet x 100 feet processing facility will be built. Twelve (12) additional storage tanks will be added. The canopy area will total 52,920 square feet with a cultivation area of 114,920 square feet. 4 In the fourth year, two (2) additional 96 feet x 140 feet greenhouses and two (2) additional 96 feet x 140 feet immature plant greenhouses will be built. Eight (8) water tanks will be added to the cultivation site. The canopy area will total 70,560 square feet with a cultivation area of 168,680 square feet. 5 At the end of the year 2024, the project will be fully complete with eight (8) 96 feet x 140 feet greenhouses, four (4) 96 feet x 140 feet immature plant greenhouses, one 40 feet x 60 feet dry building, and one 50 feet x 100 feet processing facility. All thirty-two (32) water tanks will be onsite. All growing methods are proposed above ground in hardware cloth smart pots. The total cultivation area will be 70,560 square feet with a cultivation area of 168,680 square feet. In compliance with Article 27, the collocation and clustering of contiguous parcels APNs 007-010-24 and 017-002-01 will allow for additional permits, however, both parcels would not be developed and are subjected to deed restrictions. All developments will only occur on APN 017-002-02 (Figure 1). There will be no tree removals, and cultivation activities would occur in an open flat area on previously used vineyard land. The 70,560 square feet of mixed-light cultivation would occur in eight (8) 96 feet x 140 feet greenhouses constructed from galvanized steel frames with 6-millimeter polyethylene film coverings for black-out purposes. Artificial lighting for the mixed-light cultivation would occur at a rate of up to 25 watts per square foot and would operate year-round. Immature plants would either be purchased from a state-licensed retailer or cultivated onsite in the mixed-light greenhouses. Processing activities, such as drying, trimming, curing, and packaging would occur in the proposed 50 feet x 100 feet processing building and 40 feet x 60 feet drying building. Self-transport distribution activities would also operate out of these processing buildings and would include up to 1 delivery/pickup per day. Water for the proposed project would be sourced from two existing onsite wells (38�57'40.08"N, 122�53'15.09"W and 38�57'33.17"N, 122�53'21.06"W) located in the center of the property and the southwestern corner. The well depths were not included in the report prepared by Mike Burkson on September 15 and 16, 2020, however, the well rates are 680 and 825 gallons per minute. Water would be pumped from the well to the thirty-two (32) proposed 2,500-gallon capacity water tanks, gravity-fed to the cultivation area through underground water lines, and delivered to the plants utilizing drip irrigation techniques to conserve water usage. According to the Water Use Management section of the Property Management Plan, the projected water use for the proposed 70,560 square feet of canopy area was estimated to be 1,099,624 gallons annually. Table 1 details projected monthly water use estimates for a typical year. Table 1. Proposed Monthly Water Use (Source: North Coast Select Management Plans). Power for the cultivation activities would come from a Pacific Gas and Electric (P.G.&.E.) service through the future building permit for the processing facility, greenhouses, and security system. A gasoline-powered generator would be kept onsite for use during emergencies only. The applicant shall meet all regulatory setbacks regarding the use of gasoline-powered generators at both state and local levels. Approximately Eighteen (18) employees are proposed to run the activities during peak seasonal activities. Eighteen (18) parking spots, including one (1) ADA-compliant space, would be made available to employees. One (1) delivery/trip per day is estimated. Hours of operation for the proposed activities would typically be between 8:00 a.m. and 6:00 p.m. daily, with delivery and pickup trips restricted to 9:00 a.m. -7:00 p.m. Monday through Saturday and Sunday from 12:00 p.m. to 5:00 p.m. Employees would have access to the ADA-compliant restroom proposed in the 50 feet x 100 feet processing facility. North Coast Select Inc. plans to use fully organic fertilizers and agricultural amendments including dry worm castings, Chicken and Bat Guano, MaxSea, and organic compost. Plant Therapy Organic Coastal Mix would be used for pests. All of the fertilizers, nutrients, and pesticides will only be purchased and delivered to the property as needed. They will be stored separately in the secure storage shed, in their original containers, and used as directed by the manufacturer. All pesticides/fertilizers will be mixed/prepared on an impermeable surface with secondary containment, at least 100 feet from surface water bodies. Empty containers will be disposed of by placing them in a separate seal-tight bin with a fitted lid and disposed of at the local solid waste facility within the county. Any other pesticides that may be used will only be ones outlined by Divisions 6 and 7 under California Food and Agricultural Code. At no time will fertilizers/nutrients be applied at a rate greater than 319 pounds/acre/year unless plant tissue analysis performed by a qualified individual demonstrates the need for additional nitrogen application (State Water Resource Control Broad's Cannabis Cultivation Policy). Water-soluble fertilizers/nutrients will be delivered via the drip and micro-spray irrigation system(s) of the proposed cultivation operation to promote optimal plant growth and flower formation while using as little product as necessary. Petroleum products will be stored year-round in State of California-approved containers with secondary containment and separate from pesticides and fertilizers, within the ventilated processing facilities. No hazardous waste would be produced from this project. Organic waste, including stems, root balls, and leaves from the cannabis plants, would be placed in a designated composting area within the cultivation area (outside of stream buffers), to be composted and reused in the cultivation process. All non-organic solid waste would be stored in bins with securely fitted lids in the cultivation area until proper disposal at a Lake County Integrated Waste Management facility, likely Eastlake Landfill. Security for the site would include an access gate, which would remain locked outside of business hours. The gate would be secured with a heavy-duty chain, commercial-grade padlock, and a Knox Box to allow 24/7 access to emergency service vehicles in the event of an emergency. Additionally, a 6 foot-tall chain-link perimeter fence and privacy mesh screen would be constructed around the entire cultivation area and would be mounted with six (5) security cameras, per the Security Plan (Sheet 3 of Site Plans). An additional camera and security infrastructure would be located inside the proposed 50 feet x 100 feet processing facility and the 40 feet x 60 feet drying building for compliance with the Bureau of Cannabis Control regulations for distribution activities. Staff is recommending approval of Major Use Permit, UP 20-75, and the adoption of a Mitigated Negative Declaration based on the environmental analysis (Initial Study, IS 20-88) with the incorporated Mitigation Measures and Conditions of Approval II. RECOMMENDATION Staff recommends that the Planning Commission take the following actions: A. Adopt Mitigated Negative Declaration (IS 20-88) for Major Use Permit (UP 20-75) with the following findings found in Attachment 6: 1. Potential aesthetics impacts can be mitigated to less than significant levels with the inclusion of mitigation measures AES-1 through AES-3. 2. Potential air quality impacts can be mitigated to less than significant levels with the inclusion of mitigation measures AQ-1 through AQ-8. 3. Potential biological impacts can be mitigated to less than significant levels with the inclusion of mitigation measures BIO-1 through BIO-6. 4. Potential environmental impacts related to cultural and Tribal resources can be mitigated to less than significant levels with the inclusion of mitigation measures CUL-1 and CUL-3; TRIB-1. 5. Potential geology and soils can be mitigated to less than significant levels with the inclusion of mitigation measures GEO-1 through GEO-5. 6. Potential hazards and hazardous materials impacts can be mitigated to less than significant levels with the inclusion of mitigation measures HAZ-1 through HAZ-9. 7. Potential hydrology and water quality impacts can be mitigated to less than significant levels with the inclusion of mitigation measures HYD-1 through HYD-4. 8. Potential noise impacts can be mitigated to less than significant levels with the inclusion of mitigation measures NOI-1 through NOI-3. 9. This project is consistent with land uses in the vicinity. 10. This project is consistent with the Lake County General Plan, Kelseyville Area Plan, and Zoning Ordinance. 11. 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. 12. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. B. Approve Major Use Permit UP 20-75 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, location, 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, Kelseyville 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 13. i. 8. The applicant is qualified to apply for the permit described in Chapter 21, Article 27, Section 13.ii.(g). 9. The application complies with the qualifications for a permit described in Chapter 21, Article 27, Section 13.ii.(i). VIII. Sample Motions: Mitigated Negative Declaration (IS 20-88) I move that the Planning Commission finds that the Mitigated Negative Declaration (IS 20-88) applied for by North Coast Select, Inc on property located at 1496 Bell Hill Road, Kelseyville, CA, further described as APNs: 017-002-02 (associated parcels: 007-010-24, & 017-002-01) 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 January 13, 2022. Major Use Permit (UP 20-75) I move that the Planning Commission find that the Major Use Permit (UP 20-75) applied for by North Coast Select, Inc on property located at 1496 Bell Hill Road, Kelseyville, CA, further described as APNs: 017-002-02 (associated parcels: 007-010-24, & 017-002-01) does meet the requirements of Section 51.4 and Article 27, Section 13(at) [i, ii(g), ii (i)] 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 January 13, 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 fees must be submitted prior to 5:00 p.m. on or before the seventh calendar day following the Commission's final determination.

Memorandum Item 2 9:10 a.m. February 16, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Sateur Ham, Assistant Planner II DATE: February 16, 2022 RE: Igzatik Farms, Major Use Permit (UP 20-68), Mitigated Negative Declaration (IS 20-83) Supervisor District Eddie Crandell Planning Commissioner Batsulwin Brown ATTACHMENTS: 1. Vicinity Map 2. Property Management Plan 3. Proposed Site Plans 4. Proposed Conditions of Approval 5. Initial Study 6. Agency Comments/Public comments 7. Comparative Analysis This staff report includes eight sections (Sections I through VIII). Section I provides an executive summary of the proposed project; Section II provides site specific details of the proposed project; Section III describes the surrounding uses and zoning, as well as site specific environmental information; Section IV discusses how the proposed project is in conformance with different plans that provide a blueprint for development within the County, and the regulations that implement those plans; Section V provides the findings for approval of a major use permit and a description of how this project responds to each. 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 2016 initial study. Section VII includes recommendations on actions that the Planning Commission can take for approval of the proposed project; and Section VIII provides staff recommendations for sample motions. I. EXECUTIVE SUMMARY Cristhian Hernandez is requesting approval of a Major Use Permit for outdoor commercial cannabis to allow the cultivation of up to 87,120 sq. feet (two acres) of cannabis canopy located at 2000 Clover Valley Road in Upper Lake, Lake County also known as Assessor's Parcel Number (APN): 004-007-25. According to the applicant, the historic use of the property includes a vineyard and other crop production for at least the past 30 years. There are currently 27.4 acres of active producing vineyard under contract with Justin Vineyard and Winery. Other existing developments on-site include a 1,200 square feet mobile home and associated septic system and permitted groundwater well, a 2,500 square foot barn, a frost protection pond for the vineyard, and a driveway that extends from the Clover Valley Road to the back of the property. The applicant also proposes ancillary facilities which include the following as shown in figure 1: * Twelve 320 square feet shipping containers for harvest storage * Locked shed for agricultural chemicals * Six outdoor 525 square feet drying tents and two packaging tents * Compost area * Six 5,000 gallons water tanks, one will be steel or fiberglass specifically reserved for fire suppressant requirement * Approximately less than 4,000 square feet total solar grid will be installed on top of the twelve shipping containers to provide a supplementary electrical source Figure 1. Proposed conditions of the overall parcels and detailed cultivation area The cultivation area was cleared in the middle of an existing vineyard under a grading permit exemption for crop conversion the previous year before applying for Use Permit. The applicant was issued Early Activation to cultivate 87,120 square feet (two acres) of outdoor canopy area. Water will be sourced from an existing permitted groundwater well that also provides water for vineyard irrigation. The property is served by PG&E and a power pole exists on the property near the residential structure. Solar panels on top of shipping containers will provide an offset to grid electricity usage. The proposed project will use soil amendments and nutrients developed by GreenGro Biologicals, LLC as well as Phyto-Grow. All products proposed are listed for use on-site are recommended and approved by the California Department of Food and Agriculture (CDFA) for organic crop production. Under Article 27, Section 27.13 (at), two A-Type 3 permits will allow the cultivation of up to 87,120 sq. feet (two acres) of mature cannabis plants. The plants will be grown in 40-gallon grow bags laid out in two rectangular grids, each taking up approximately 400 feet by 110 feet area, with a 25 foot wide fire traffic aisle between them. Cultivation will occur in full direct sunlight without light deprivation. The cultivation area and associated ancillary facilities will be surrounded by 270 feet by 640 feet fence shown in figure 2. Figure 2. Cannabis cultivation details Staff is recommending approval of Major Use Permit, UP 20-68, and the adoption of a Mitigated Negative Declaration based on the environmental analysis (Initial Study, IS 20-83) with the incorporated Mitigation Measures and Conditions of Approval further discussed in Section VII. II. RECOMMENDATION Staff recommends that the Planning Commission take the following actions: A. Adopt Mitigated Negative Declaration (IS 20-83) for Major Use Permit (UP 20-68) with the following findings found in Attachment 5: 1. Potential air quality impacts can be mitigated to less than significant levels with the inclusion of mitigation measures AQ-1 through AQ-3. 2. Potential environmental impacts related to cultural and Tribal resources can be mitigated to less than significant levels with the inclusion of mitigation measures CUL-1 and CUL-2. 3. Potential noise impacts can be mitigated to less than significant levels with the inclusion of mitigation measures NOI-1 through NOI-3. 4. This project is consistent with land uses in the vicinity. 5. This project is consistent with the Lake County General Plan, Upper Lake-Nice Area Plan, and Zoning Ordinance. 6. 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. 7. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. B. Approve Major Use Permit UP 20-68 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, location, 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, Upper Lake-Nice 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 13. i. 8. The applicant is qualified to apply for the permit described in Chapter 21, Article 27, Section 13.ii.(g). 9. The application complies with the qualifications for a permit described in Chapter 21, Article 27, Section 13.ii.(i). VIII. Sample Motions: Mitigated Negative Declaration (IS 20-83) I move that the Planning Commission find on the basis of the Initial Study No. 20-83, prepared by the Planning Division, and the mitigation measures which have been added to the project, that the use permit as applied for by Cristhian Hernandez Rodriguez 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 February 16, 2022. Major Use Permit (UP 20-68) I move that the Planning Commission find that the Major Use Permit (UP 20-68), applied for by Cristhian Hernandez Rodriguez project on property located at 2000 Clover Valley Road, Upper Lake, CA, does meet the requirements of Section 51.4 and Article 27, Section 13(at) [i, ii(g), ii(i)] of the Lake County Zoning Ordinance, that the Planning Commission has reviewed and considered the Mitigated Negative Declaration which was adopted for this project, and that a Major Use Permit be granted subject to the conditions and with the findings listed in the staff report dated February 16, 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 fees must be submitted prior to 5:00 p.m. on or before the seventh calendar day following the Commission's final determination.

Memorandum Item # 3 9:15 a.m. February 24, 2022 STAFF REPORT TO: Planning Commission FROM: Mary Darby, Community Development Director Prepared by: Eric Porter, Associate Planner DATE: February 24, 2022 RE: Linodhi Inc. (Flying High Dragon); Major Use Permit (UP 21-42) and Initial Study (IS 21-44). APNs: 007-018-15 ( cultivation site); and 007-018-14 Supervisor District 5 ATTACHMENTS: 1. Vicinity Map 2. Site Plans 3. Property Management Plan 4. Agency Comments 5. Initial Study IS 21-44 6. Hydrology Report; Hurvitz Environmental; Nov. 9, 2021 7. Public Comments (none provided as of February 11, 2022) 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: * Three A-Type 3 "Medium Outdoor" cultivation licenses consisting 214,936 sq. ft. of cultivation area * Total outdoor canopy area is 129,276 sq. ft., and, * A-Type 13 Self Distribution license Proposed ancillary facilities associated with this project include: * Twelve 8-foot x 40-foot shipping containers for product drying and secure storage anchored onto a 50-foot x 160-foot concrete foundation pad; * A <120 sq. ft. secure shed for fertilizer storage; * A <120 sq. ft. secure shed for pesticide storage; * A <120 sq. ft. security shed; * Three chemical portable toilets (one ADA compliant) and wash station; * Five 2,500-gallon water tanks for project irrigation; * A 5,000-gallon water tank containing fire department connections and made of steel/fiberglass for fire suppression; * Two 2,500-gallon mixing tanks; and * A shaded employee break area with picnic tables. II. PROJECT SETTING Existing Uses and Improvements: The parcels combined are 66.34 acres in size, large enough for the proposed 3 A-Type 3 "Medium Outdoor" licenses. The proposed project area is located approximately 1.17 miles southeast of Kelseyville in Lake County. See Attachments 1 and 2. According to the Property Management Plan and the site plans submitted (Attachment 2), the two standard chemical portable toilets and wash station would be installed near the security shed at the locking steel gate at the western entrance to the cultivation driveway. The application material submitted indicates that up to 18 employees would be on site during peak harvest season; the portable toilets must be cleaned weekly. One ADA chemical portable toilet/wash station would be installed next to the designated ADA compliant parking area. A 20' x 20' employee break area with picnic tables would be installed just outside the cultivation entrance as depicted on the plans submitted. There are two easements on the project site, each associated with access to a neighboring parcel. A dedicated easement heading east from the western border of the cultivation parcel provides access to 6560 Wilkinson Road on APN 007-018-09, to the northeast of the cultivation parcel. A second dedicated easement heading south parallel to the western border of the cultivation parcel provides access to 6685 Wilkinson Road on APN 007-018-08, to the southwest of the cultivation parcel. Neither of the two neighboring parcels possessing an easement would have any legal use of the private dedicated driveway leading to the cannabis support area. An unnamed Class III watercourse runs north-south through the eastern half of the clustering parcel and is located about 750 feet from the edge of the cultivation area. Article 27 (at) 3.iv.(c) requires that the cannabis cultivation area be set back a minimum of 100 feet from the top of the bank of any water bodies, which is met by this proposal (Lake County, California, 2008). There would be no surface water diversions as part of this project. WATER ANALYSIS The applicant has provided a water analysis prepared by Hurvitz Environmental Services Inc. and last updated November 9, 2021 (Attachment 6). The analysis states the following: Based on the information and assessments contained within the Water Analysis, the analysis concluded that the wells' discharge capacity and rate of recharge are sufficient to sustainably provide for the projected annual water use at the site. The quantity of groundwater to be used for the project is unlikely to result in significant declines in regional groundwater availability or depletion of groundwater resources over time. The Water Analysis concludes that the annual project water use estimate will be 1,400,000 gallons for the outdoor cultivation; 131,400 gallons for residential usage; 13,500 gallons for employee water usage, for an annual total of 1,544,900 gallons or 4.74 acre-feet/year. The potential for the project water-use to cause well interference or impacts to creeks and other water sources are also considered minimal. According to www.ecoatlas.com2 the project site is located within the Cole Creek sub-watershed (HUC-12 -18020160302) of the Big Valley Groundwater Basin, which is within the jurisdiction of the Central Valley Regional Water Quality Control Board. Cole Creek is about 15 miles long and flows generally northward; ultimately draining into Clear Lake. Groundwater storage in Big Valley has been estimated several times over the past 60 years. The Department of Water Resources (DWR) estimated groundwater in storage to be 105,000 acre-feet for a saturated depth interval of 10 to 100 feet in 1960. In 2004, DWR estimated usable storage to be 60,000 acre-feet. DWR estimated specific yield in 1957 to be 8 percent. Average-year agricultural groundwater demand in the Big Valley basin is approximately 11,360 acre-feet per year. The aquifer encountered at this site is the designated as the "C4" aquifer which is a Volcanic Ash aquifer that directly overlays the Clear Lake volcanic bedrock. The Well Completion Report for the sites domestic well (Appendix B) confirms that the groundwater is encountered in volcanic material. Recharge of groundwater in the "Volcanic ash" aquifer is poorly understood. However it is generally thought that the aquifer is recharged by underflow from uplands, and infiltration of streamflow at surface exposures of the volcanic ash. The estimated annual water usage for the project is 1,413,500 gallons or 4.34 acre-feet of groundwater per year. The project plans do not involve any water diversions or imported water; the project is reliant on the permitted on-site groundwater well. Details on the cultivation projects water usage, including breakdowns of average and peak monthly usage, are presented in Table 1 below, and in the Hurvitz Water Analysis submitted for this project. A well yield test conducted for the existing permitted groundwater well on December 23, 2020 determined that the well is capable of producing between 12 and 15.8 gallons-per-minute over 6.25 hours of pumping with a stabilized drawdown of 25 feet and full recharge recovery occurring 55 minutes after the well test concluded. Water from the permitted groundwater well will be used for cannabis plant irrigation as well as by employees and for domestic use. The cultivation operation would use a drip irrigation system to irrigate the cannabis plants. An existing permitted groundwater well is located on the cultivation parcel (APN 007-018-15). Water from this well will be pumped to the five (5) 2,500 gallon above-ground water storage tanks shown on the site plans submitted. According to the project's Hydrology Report, the project's estimated water demand would be approximately 1,544,900 gallons per year including residential use. Project water consumption (not including the 131,400 gallons for annual residential usage) would vary, with the highest consumption occurring during the summer months totaling 1,413,500 gallons per year. Table 1: Monthly Water Use Estimates (Gallons) Use Apr May June July Aug Sept Oct Total Outdoor Cultivation 125,000 210,000 230,000 190,000 240,000 260,000 145,000 1,400,000 Employees 1,000 1,000 1,500 2,000 2,000 3,000 3,000 13,500 Total 137,450 222,450 242,950 203,450 252,950 273,950 159,200 1,413,500 Groundwater Recharge - Non-Drought Conditions Groundwater recharge is the replenishment of an aquifer with water from the land surface. It is usually expressed as an average rate of inches of water per year, similar to precipitation. Thus, the volume of recharge is the rate times the land area under consideration times the time period, and is usually expressed as acre-feet per year. In addition to precipitation, other sources of recharge to an aquifer are stream and lake or pond seepage, irrigation return flow (both from canals and fields), inter-aquifer flows, and urban recharge (from water mains, septic tanks, sewers, drainage ditches). Long-term hydrographs in Lake County shows that during drought periods the groundwater basins do not fully recover, possibly leading to short-term overdraft. However, long term trends in the hydrographs in Lake County appear to indicate that annual groundwater extractions are not exceeding annual groundwater recharge in groundwater basins. For this site, the volcanic aquifer is considered to be confined. Drainage features that intersect and border the site have likely eroded through some of the overlying layers and are contributing to the recharge of the site's aquifer through the stream bottom. However, it is also likely that a portion of the rain water falling directly on the site infiltrates the ground surface and migrates downward through the soil matrix until it recharges the aquifer. To estimate the groundwater recharge at the site we first assumed that the recharge to the aquifer is primarily through rainfall and that all rainfall accumulated within the 66-acre property drains to the un-named drainage swale on the site. The estimated annual precipitation for the aquifer's defined area is 165 acre-feet. However, this estimate does not account for surface run-off, stream underflow, and evapotranspiration that occurs in all watersheds. According to the USGS, the long-term average precipitation that recharges groundwater in these northern California regions is approximately 15 percent but can be as low as 1.67%. Since this site has relatively mixed topography with both upland and low-lying areas, we estimate that the long-term average precipitation that recharges groundwater within the entire site is below the regional average at approximately 10%. With this data and the precipitation data presented above, we can re-calculate the groundwater recharge within the Cumulative Impact Area using the following equation. The Hurvitz Water Analysis states that 165 acre-feet (Annual precipitation onsite) x 0.10 (long term average for recharge) = Estimated Groundwater Recharge = 16.5 acre-feet/year Based on the estimated annual recharge to the site aquifer and the estimated annual project usage, it appears that the applicant will have enough water to meet their demands without causing overdraft conditions. Groundwater Recharge - Drought Conditions According to the Hurvitz Water Analysis, the variations in rainfall over the dataset shows a high of 53.49 inches and a low of 10.05 inches. If we were to perform a recharge analysis of one single year using the lowest recorded rainfall for the area, we could estimate the low-end value for annual aquifer recharge as follows: * 0.8375 ft/year (severe drought rainfall) x 66-acres (property size) x 0.1 (conservative long-term average for recharge) = 5.5 acre-feet/year - Estimated Groundwater Recharge for Severe Drought Year (Hurvitz Environmental Services Inc., 2021). 2. Surrounding Land Uses and Setting: Briefly describe the project's surroundings: * North: "RL" Rural Lands; large lots that contain isolated single-family dwellings. * South: "RL" Rural Lands; large lots that are undeveloped or that contain isolated single-family dwellings. * East: "RL" Rural Lands; large lots that are undeveloped or that contain isolated single-family dwellings. * West: "RL" Rural Lands; large lots that are undeveloped or that contain isolated single-family dwellings. ZONING OF SITE AND SURROUNDING AREA Source: Lake County GIS Parcel Viewer Legend: Light green = Agricultural Preserve Olive green = Rural Lands Topography/Slope: Varied; the project parcels have a cross slope of less than 20%. Soils: The cultivation area contains soil type 113-Bottlerock-Glenview-Arrowhead complex, 5 to 30 percent slopes. This map unit is on volcanic hills. The vegetation is mainly brush with scattered conifers. Elevation is 1,500 to 3,000 feet. These soils are suited to the production of ponderosa pine. Water Supply: Permitted Existing Groundwater Well and Permitted Backup Well Sewage Disposal: Existing Permitted On-Site Septic Fire Protection: Kelseyville Fire Protection District / Cal Fire; SRA Vegetation: Several varieties of oak trees, grass and some manzanita brush III. RECOMMENDATION Staff recommends that the Planning Commission: A. Adopt mitigated negative declaration (IS 21-44) for Use Permit (UP 21-42) with the following findings: 1. 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 and AQ-6, along with the additional odor control requirement. 2. Potential environmental impacts related to biological resources can be mitigated to 'less than significant' levels with the inclusion of mitigation measure BIO-1. 3. Potential environmental impacts related to cultural / geological (prehistoric) and tribal resources can be mitigated to less than significant levels with the inclusion of mitigation measures CUL-1 and CUL-2. 4. Potential environmental impacts related to Noise can be mitigated to less than significant impacts with mitigation measures NOI-1, NOI-2 and NOI-3. 5. Potential environmental impacts related to cumulative impacts can be mitigated to less than significant with the afore-mentioned mitigatmion measures. 6. As mitigated through specific conditions of approval, this project will result in less than significant environmental impacts. B. Approve Use Permit UP 21-42 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. IV. SAMPLE MOTIONS Mitigated Negative Declaration I move that the Planning Commission find that the Initial Study (IS 21-44) applied for by Linhodhi Inc. / Linda Bryant on property located at 6680 and 6690 Wilkinson Road, Kelseyville, and further described as APNs: 007-018-15 and 007-018-14 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 February 24, 2022. Major Use Permit (UP 21-42) I move that the Planning Commission find that the Use Permit (UP 21-42) applied for by Linhodhi Inc. / Linda Bryant on property located at 6680 and 6690 Wilkinson Road, Kelseyville, and further described as APNs: 007-018-15 and 007-018-14 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 February 24, 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 9:20 a.m. February 24, 2022 STAFF REPORT TO: Planning Commission FROM: Community Development Department Mary Darby, Community Development Director Prepared by: Eric Porter, Associate Planner DATE: February 24, 2022 RE: RESUBMITTAL - WeGrow LLC * Major Use Permit Resubmittal (UP 20-22) * Initial Study Revision (IS 20-25) Supervisor District 1 Location: 16750 Herrington Road, Hidden Valley Lake (cultivation site); 17610 Sandy Road and 19678 Stinson Road, Middletown (cluster sites) Assessor Parcel Numbers (APNs): 013-060-40 (cultivation site); 013-014-03 and 11 (clustering sites) ATTACHMENTS: 1. Vicinity Map 2. Property Management Plan - Revised 3. Agency Comments 4. Conditions of Approval (removed) 5. Current Site Plans 6. Initial Study IS 20-25 (CEQA) Addendum 7. Biological Assessments 8. Tree Removal and Revegetation Plan 9. Water Availability Analysis; Hurvitz Env. Services, 8-10-2021 10. Public Comments (original and new comments) 11. Traffic Analysis 12. Memo - Power Availability and Analysis a. Attachment 12a - Letter from Applicant re: Power to Site b. Attachment 12b - County Codes related to Power 13. Power Analysis - DTN Engineering, dated January 6, 2022 14. Letter from WeGrow, Andrew Azarmi, dated Oct. 21, 2021 This staff report includes eight sections (Sections I through VIII). Section I provides an executive summary of the proposed project, including analyses on power, water, chemical storage, access; a project description, and construction / post-construction specific data. Section II provides the project setting and the surrounding uses and zoning. Section III provides the project analysis and conformance with the General Plan, Middletown Area Plan, and the applicable sections of the Zoning Ordinance. 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 and in the addendum to the initial study. Section V evaluates compliance with required findings for a major use permit as found in Article 51.4 of the Zoning Ordinance and in Article 27(at). Section VI refers to Attachment 10, 'Public Comments', which were extensive for this project. Section VII includes recommendations on actions that the Planning Commission can take for a decision of the Initial Study, addendum to the Initial Study, and for the major use permit. Section VIII provides recommended motions for a decision of the proposed project. I. EXECUTIVE SUMMARY Background The original application was sent to the Planning Commission at a public hearing that occurred on April 22, 2021. The hearing was a combination of 'in-person' and remote via Zoom due to Covid-19 protocol. There was significant testimony from concerned persons who attended. Ultimately the Planning Commission approved the project on a 4 to 1 vote. A timely appeal was filed by a neighboring development. The appeal was heard by the Board of Supervisors on June 8, 2021. The Board ultimately approved the appeal, and denied the use permit UP 20-22 without prejudice due to a discrepancy in the site plan submitted to the State Clearinghouse, which differed from the site plan approved by the Planning Commission. The applicant then re-applied for a use permit using the amended site plan, which contained the same elements as the original site plan, but in a slightly different location. Accompanying the re-submitted use permit were various studies and documents prepared and submitted which included: a cumulative water availability analysis (Hurvitz, August 10, 2021); a Tree Removal and Revegetation Plan; two updated well tests, a Traffic Study, and several other documents that are of record. The CEQA documents were then written and uploaded to the State Clearinghouse on September 1, 2021 for a 35 day review period, and a 'Notice of Intent' was sent to each of the people who had submitted testimony during the first hearings that took place before the Planning Commission and ultimately before the Board of Supervisors. Project Details The applicant is requesting approval of a Major Use Permit for fifteen (15) A-Type 3B (medium Mixed light) commercial cannabis cultivation licenses and (1) A Type 1C (Specialty Cottage mixed-light) license that would include 387,600 sq. ft. of greenhouse cultivation area inside of thirty-two (32) 90' x 120' greenhouses for mature plants; two (2) 90' x 120' greenhouses for immature plants; four (4) 50' x 100' drying buildings, two (2) 200 sq. ft. sheds, and twenty (20) 5,000 gallon water tanks on a 309 acre property located at 16750 Herrington Road (cultivation site); 17610 Sandy Road and 19678 Stinson Road (clustering sites), Hidden Valley Lake / Middletown, California, APNs 013-060-40, 013-014-03 and 11. The project includes one (1) A-Type 13 'Self Distribution' license to enable legal transportation of cannabis to and from the property. According to the Initial Study, the applicant is proposing the removal of 130 blue oak trees, and would if approved be required to replant at a 3:1 ratio using blue oak trees or similar indigenous tree species prior to final occupancy. The applicant's specific project proposal includes the following: Fifteen (15): A - Type 3B: "Medium Mixed Light" Licenses: Greenhouse cultivation for adult use cannabis using light deprivation and/or artificial lighting in the canopy area of 22,000 square feet of total canopy size on one premises per license. * The total proposed cultivation area is 387,600 sq. ft. of taxable area * The total proposed mixed light (greenhouse) canopy is estimated to be 332,160 square feet and will be cultivated in 32 mature greenhouses, 10,380 sq. ft. of canopy area within each mature greenhouse. * Thirty-four (34) 90' x 120' greenhouses (two of which will be used for immature plants, not counted toward mature canopy area) * Four (4) 5,000 sq. ft. drying buildings * Two (2) 200 sq. ft. sheds * Twenty (20) 5,000 gallon water tanks * Removal of 130 blue oak trees One (1): A - Type 13 "Self Distribution License" Power Analysis The site is presently service by one 200 amp service. The applicant originally requested a 4000 amp service, which is a large amount of electricity as they will be cultivating an estimated 332,160 sq. ft. of canopy in greenhouses using a method called 'light deprivation'. Light deprivation allows a maximum of 25 watts per square foot; there is no minimum standard for lighting using light deprivation. The applicant originally stated that all electricity needed for the project will be supplied from PG&E through the existing connection, however PG&E had indicated that an electrical upgrade would be necessary to accommodate a new 4,000 amp service at this location, and the grid upgrade could take until year 2025 or beyond. Staff contacted PG&E on August 15, 2021 to discuss the WeGrow power situation. PG&E contacts Ivan Castro and Jason Newell stated that the applicant would need to upgrade the grid at their cost, and confirmed that a grid upgrade could take up to four years; possibly longer. The applicant was made aware of this following the August 15, 2021 discussion with PG&E. Based on the PG&E requirement for upgrades to the power grid in this location, the applicant proposed that limited power be provided to the greenhouses on an interim basis until the grid gets upgraded, since 'light deprivation' method uses a lack of interior lighting. On January 6, 2022, staff received a Power Analysis via email, prepared by DTN Engineering / David Nicoletti, P.E. The Analysis evaluated the power needs for one processing building, three drying buildings, and thirty-four greenhouses. The processing building had a projected power demand of 122.38 amps. The three drying buildings have a projected power demand of 106.60 amps. The greenhouses would use natural lighting and have no power demand. The total load demand is 228.98 amps, however the actual use would be 80% of the total load demand, or 183.18 amps. This Analysis concluded that the existing 200 amp service to the site is sufficient for the power demands for this project. The proposed project initially requested the use of a backup generator, which would be used in emergency situations. CCR Title 4, Division 19, Chapter 9, Subsection 16306, "Generator Requirements", and Article 27(at) of the Lake County Zoning Ordinance list the rules for using backup generators. Article 27(at) states that backup generators are only permitted for use by cannabis cultivators during power outages; this is stated within the Conditions of Approval for this project. The use of generators is generally inconsistent with Article 27.11(at) regarding commercial cannabis cultivation except during an emergency. Access The project site is currently accessed by a private gravel driveway that connects with Herrington Road. The existing gravel driveway on the property leads to the center of the property where the cultivation area is proposed. The applicant states that at minimum the driveway will be 20 ft wide with 14 ft of unobstructed horizontal clearance and 15 feet of unobstructed vertical clearance. The access driveway will have 6-inch gravel added to the entire length of it, and the applicant will provide 31 parking stalls (Two ADA) as well as a hammerhead turnaround in front of the cultivation area that will be 20' wide and 60' in length. These standards are required by the Lake County Building Department and by CalFire. A site visit by the former Lake County Community Development Department Code Enforcement Manager and current Associate Planner Eric Porter took place on March 19, 2021. The Code Enforcement Manager observed that the existing interior driveway was not adequate to meet Public Resource Codes 4290 and 4291 (CalFire road standards for commercial development). At that time the Code Enforcement Manager pointed out that the interior road was not in compliance with CalFire requirements, but said it could be brought into compliance through the appropriate conditions of approval and mitigation measures, to be verified prior to cultivation. The applicant has provided a Traffic Study, prepared by DTN Engineering, Consulting and Permitting, undated but received on August 21, 2021. The study concluded that the project would generate up to 40 average daily trips during the height of the cultivation season, and that traffic (existing) on Tinilyn and Spruce Grove Roads could accommodate up to 336 cars per day. Current trip counts put the number of trips including the project-related trips well below this number. The study indicated that no additional road improvements to public roads are necessary to accommodate this project. Interior driveway improvements will be required to enable the driveway to meet CalFire Road Standards as described in Public Resource Code (PRC) 4290 and 4291. Pesticide and Fertilizer Storage The project does not propose the storage or use of any hazardous materials. All organic waste will be placed in the designated composting area within the cultivation area. All solid waste will be stored in bins with secure fitting lids until being disposed of at a Lake County Integrated Waste Management facility, at least once a week during the cultivation season. No pesticides may be used other than biorational types. Water Analysis There are two permitted groundwater wells located on site; one is a permitted domestic groundwater well (referred to as 'Well No. 1' in this report), and the other is a permitted agricultural well (referred to as 'Well No. 2' in this report). A six hour run test was completed in 2021 which determined the following: Event: Well No. 1 Well No. 2 Six hour run test date: Feb. 17, 2021 April 9, 2021 Productivity (average GPM): 7.76 GPM 40.0 GPM Water level (start of test): 85 feet below grade 76 feet below grade Total Drawdown after 6 hours: 193' lower than @ start 250' lower than @ start Recharge Rate after 1/2 hr 72% 90% The applicant has provided a Water Use/Water Availability Study (Study) prepared by Hurvitz Environmental Services, dated August 10, 2021, in addition to submitting two well reports which are referenced above and within the Hurvitz Study. Please see Attachment 9. The Study reviewed the projects proposal, the well data and location to determine the impacts of the proposed project, the estimated aquifer capacity, the annual stormwater recharge rates (both pre-drought and post-drought), and projected water usage from other off-site water users. The Study concluded that based on well yield test data collected at the site, and based on the estimated aquifer capacity of 911 acre-feet, or about 297,000,000 gallons of water (or one acre foot = 325,724 gallons of water), it appears that the aquifer storage and recharge area are sufficient to provide for sustainable annual water use at the site and within the area. The study determined that the quantity of groundwater to be used for the project compared to the average quantity of available groundwater and severe drought conditions indicates that pumping for the proposed project is unlikely to result in significant declines in groundwater elevations or depletion of groundwater resources to the project site and to neighboring water users over time. The Study also took into account pre-drought and post-drought conditions. The typical non-drought year recharge rate in Lake County is estimated to be 15% of total rainfall. Estimated non-drought year total rainfall over the probable aquifer was estimated by Hurvitz to be 488 acre-feet. Fifteen percent of this amount in non-drought years is 73.2 acre feet annually according to the Hurvitz study. Drought years assume half as much (coefficient of 8% recharge rather than 15% in non-drought years. Projected drought-year recharge rate is 19.52 acre feet per year. Estimated annual projected water use for this project is 4,713,410 gallons, which is approximately 14.58 acre-feet of groundwater/year. Attachment 9, page 8. The Lake County Zoning Ordinance has no minimum gallons per minute productivity thresholds; water depth / recharge rate thresholds, or other regulations for what constitutes an adequate water availability analysis. The Hurvitz Study concluded that there would be about 5 acre-feet per year of 'surplus' water that would not be used by this cultivator during drought years, which equates to 1,628,000 gallons of surplus recharge (aquifer) groundwater per year. Regarding this specific project, the applicant indicates that they will use a drip-irrigation system inside the greenhouses which is more water-efficient than other methods of irrigation. Cannabis plants typically require between 4 and 6 gallons of water per day per plant. The following chart shows the proposed annual water usage provided by the applicant for the cannabis cultivation irrigation minus the replacement tree irrigation water and employee domestic water use that will be needed. II. RECOMMENDATION Staff recommends that the Planning Commission: A. Do not Adopt Mitigated Negative Declaration (IS 20-25) for resubmitted Major Use Permit (UP 20-22) due to insufficient review of oak tree removal and erosion control measures. B. Deny resubmitted Major Use Permit UP 20-22 with the following findings: 1. The application material submitted does not adequately address all environmental impacts, particularly regarding oak tree removal and erosion control measures, and accordingly must be denied. III. RECOMMENDED MOTIONS Mitigated Negative Declaration (IS 20-25) I move that the Planning Commission do not adopt the Initial Study, IS 20-25 due to insufficient review of the proposed tree removal and lack of adequate erosion control information provided. Resubmitted Major Use Permit (UP 20-22) I move that the Planning Commission deny file no. UP 20-22 due to insufficient review of the project according to the California Environmental Quality Act as it relates to oak tree removal of 130 oak trees and as it relates to treatment of soil erosion and drainage. 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.