Overview of the Draft EIR County of Santa Cruz Commercial Cannabis Cultivation and Manufacturing Regulations and Licensing Program: Overview of the Draft EIR September 12, 2017

Purpose of Session Describe the structure and findings of the Draft EIR to facilitate review

Background September 2015 California establishes regulatory system for medical cannabis cultivation (MMRSA) 2015 County adopts SCCC Chapter 7.128, establishing an interim licensing program 2016 County prepares the proposed permanent licensing program (the subject of the EIR) Proposition 64 legalizes cannabis for adult use (AUMA) Future Replace SCCC Chapter 7.128 with permanent program, pursuant to MAUCRSA

Overview OF THE PROPOSED REGULATIONS AND LICENSING PROGRAM Criteria for licensing commercial cannabis cultivation and manufacturing Eligible zoning districts in unincorporated areas Address the type, location, size, intensity, and design of cannabis sites. Regulation for site development, consistent with the Santa Cruz County Code (SCCC) Does not include personal use Here? Or later slide? Mention that the proposed regulations as they currently stand are in appendix c, however these are expected to change through the review and hearing process

Cannabis Cultivation Only sites zoned: Residential Agriculture (RA), Special Use (SU), Timber Production (TP), Agriculture (A), Commercial Agriculture (CA), Service Commercial (C-4), and Industrial (M-1, M-2, M-3) Development standards further restrict eligibility Two Program scenarios compared in EIR: Project More Permissive Project Describe that the two scenarios of the program were analyzed, in order to do an in depth look at two versions of the regulations . We call these the project and the more permissive project, to indicate that the second scenario would allow more cultivation to occur. Separate from that,, CEQA requires that alternatives to the program be evaluated, and those are a different thing. Alts are discussed later

Project Scenario

More Permissive Project Scenario

Cannabis Manufacturing Only sites zoned: Residential Agriculture (RA), Special Use (SU), Timber Production (TP), Agriculture (A), Commercial Agriculture (CA), Service Commercial (C-4), Industrial (M-1, M-2, M-3), and Community Commercial (in C-2 only in conjunction with a dispensary) Subject to standards limiting the type of manufacturing and size of the operation Ancillary to cultivation on agricultural and timber zones Allowed in detached single family homes in residential zonings, subject to limitations and with a cannabis home occupation permit

What is an EIR? An informational document Discloses information about the effects a proposed project could have on the environment Identifies mitigation measures Describes feasible alternatives to the proposed project Must be certified by the Board of Supervisors prior to project approval

What is an EIR? An EIR does not approve or deny a project Decision makers can deny or modify a project, even if no impacts are found Where significant environmental impacts are identified in an EIR, mitigation measures must be considered to avoid or reduce impacts Where significant impacts are identified and feasible mitigation measures are not available

The eIR process = Current phase February Notice of Preparation Scoping Meeting August Environmental Impact Analysis Public Draft EIR October 45-Day Public Comment Period Public Hearing November Respond to Comments Final EIR December Certify EIR Program Adoption Hearings = Current phase

EIR Scope The EIR considers the potential physical impacts of the following actions: Adoption of the Program, including: Amendments to the SCCC Amendments to the General Plan/Local Coastal Program Licensing of commercial cannabis cultivation and manufacturing activities

Environmental Baseline Existing setting at NOP (Feb 2017) Includes existing cannabis activities Number, types, locations, settings Characterized based on: 2016 County License Registration Data 2017 County Cannabis Manufacturers Survey Interviews with cannabis industry representatives, Sheriff’s Office, Code Enforcement, local industry surveys, etc. EIR analyzes changes from baseline

Summary of TYPES OF Environmental Impacts The Draft EIR classifies impact significance: Significant and Unavoidable Less than Significant with Mitigation Less than Significant No Impact Beneficial Impact Addresses Direct, Indirect, Secondary, and Cumulative Impacts

Summary of Program’s POTENTIAL Environmental Impacts Aesthetics and Visual Resources Public views, character, vegetation, and light/glare Agricultural and Timber Resources Conversion, use compatibility Air Quality Odor, emissions, vehicle trips, planning consistency Biological Resources Wildlife, sensitive species/habitat, natural communities, rodenticides

Summary of Program’s POTENTIAL Environmental Impacts Cultural Resources Undocumented historic resources, archaeological and paleontological resources Geology and Soil Grading/terracing, soil stability, seismicity Greenhouse Gas Emissions Mobile and operational GHGs, consistency with GHG policy Hazards and Hazardous Materials Transport/storage of hazmat, pesticides/herbicides/rodenticide, fires/explosions

Summary of Program’s POTENTIAL Environmental Impacts Hydrology and Water Quality Contamination, sedimentation, groundwater overdraft Land Use and Planning Consistency with plans and policies Public Services Law enforcement, fire protection, public parks, and schools Population, Employment and Housing Growth inducement, employment, housing demand

Summary of Program’s POTENTIAL Environmental Impacts Transportation and Circulation Traffic, roadway operations, safety and access Utilities and Energy Conservation Water, wastewater, solid waste, and energy infrastructure Other CEQA – Not Significant Noise Minerals

Highlighted findings: PROPOSED Mitigation Measures Protecting Biotic Resources Protecting Water Resources Avoiding Excessive Disturbance Minimizing Energy Use/GHGs Transportation

Less than Significant No Mitigation Required Mitigation Required Hazards and Hazardous Materials Public Services Aesthetics and Visual Resources Agricultural and Timber Resources Biological Resources Cultural Resources Geology and Soils Greenhouse Gases Hydrology and Water Quality Land Use and Planning Population, Employment, and Housing Utilities and Energy Conservation

Significant Unavoidable Impacts Air Quality Transportation and Circulation Secondary impacts from unregulated cannabis activities are significant and unavoidable for all resources except Aesthetics/Visual Resources

Alternatives No Project (Existing Regulations) Alternative 1 – Most Restrictive Project Alternative 2 – Most Permissive Project The Draft EIR concludes Alternative 2 is the Environmentally Superior Alternative

THE EIR EVALUATED THE FOLLOWING PROJECT AND ALTERNATIVES: Most Restrictive Project Alternative More Permissive Project Most Permissive Project Alternative No Project Alternative Restrictive Permissive

Public comments Before October 16, 5:00 PM, receive public comments on: Adequacy of the Draft EIR Alternatives evaluated in the Draft EIR Comments should focus on the environmental impacts of the proposed Program

Submit Comments by 5:00 p.m. on October 16, 2017 by: Completing a comment card Mail a letter: Matt Johnston County of Santa Cruz |Planning Department 701 Ocean Street, 4th Floor Santa Cruz, CA 95060 Email: cannabiseir@santacruzcounty.us

Next steps (Tentative Expected dates) Draft EIR 45-Day Public Comment Period August 31 – October 16 Public Meeting to collect comments on Draft EIR October 2 from 6 - 8PM Board of Supervisors Chambers, 5th Floor 701 Ocean Street, Santa Cruz Publish Final EIR with Response to Comments November 2017 Public Hearings, Certification of the Final EIR, Action on the Project December 2017 and January 2018

Thank you for attending! Stay connected at www.sccoplanning.com/PlanningHome/Environmental/CEQAInitialStudiesEIRs/CannabisRegulationsEnvironmentalReview.aspx Download the EIR: www.santacruzcounty.us/cannabiseir