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Memorandum To: Carmen Gill, Taven Kinson Brown, and Brent Slama From: Glenn M. Pace
Date: October 29, 2024 UPDATED February 25, 2025
Re: Monterey County LAFCo Agricultural Mitigation Policy/Good Faith Effort Part E., Preservation of Open-Space and Agricultural Lands, of Monterey County Local Agency Formation Commission (“LAFCO”) Policies and Procedures Relating to Spheres of Influence and Changes of Organization and Reorganization was adopted by LAFCO on February 26, 2024 (the “Policy”). Although the purpose of Part E is broad as it relates to all policies and procedures dealing with agricultural mitigation options available to applicants proposing to annex land into a city’s limits, the purpose of this Memorandum is to detail those actions taken by Cielo Grande Ranch, LLC, to satisfy the “good faith” obligation set forth in Section III(3)(B).
Per Section III(3)(B) of the Policy, applicants must make a “Good-faith effort” to obtain conservation easements. A “Good-faith effort” requires the applicant to: 1) Consult with a qualified conservation entity to have that entity hold conservation easements; 2) make reasonable efforts to identify suitable potential conservation easement receiver sites; and 3) make one or more bona fide offer for suitable conservation easements at fair market value on suitable available sites, but no property owner has accepted the applicant’s offer.
Following are those actions taken by Cielo Grande Ranch to obtain conservation easements to satisfy Section III(3)(B) of the Policy.
Consultation with a Qualified Conservation Entity.
Big Sur Land Trust:
Big Sur Land Trust is a nonprofit public benefit corporation formed and operating in the State of California. The Trust holds over 45,000 acres of land throughout Monterey County in fee or easements. Per Diedra Monroe, Senior Land Acquisition Manager of the Trust, the Trust does not generally hold agricultural conservation easements, but they currently hold one or more agricultural conservation easements and might be interested in holding more. The Vista Lucia land plan and a link to the Vista Lucia video has been sent to Diedra. To date, the issue of holding agricultural conservation easements has not been brought before the Board, but Diedra has confirmed that the matter will be discussed at a Board meeting.
Identification of Suitable Conservation Easements.
C&G Farms, Inc.:
C&G Farms, Inc., is a California corporation based in Gonzales, California. Carlos Amaral is the Chief Executive Officer of the company which owns approximately 1,000 acres of agricultural land in the Gonzales area. In May and August of this year, we spoke regarding the possibility of agricultural conservation easements on a portion of the property owned by the company. Despite Mr. Amaral’s interest in the possibility of placing agricultural conservation easements on a portion of the company’s property, there has been no further contact by Mr. Amaral conveying the Exhibit G
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information necessary to determine the suitability of the company’s property for agricultural conservation easements which meet the Policy requirements. Notwithstanding the foregoing, continuing efforts are being made to contact Mr. Amaral to discuss agricultural conservation easements for either the first or subsequent annexation phases, including working with City personnel to discuss these options with Mr. Amaral.
Jackson Family Wines:
Jackson Family Wines, a Delaware corporation, is the ninth largest wine maker in the United States.
They own several vineyards in Monterey County, including one adjacent to the current City of Gonzales limits. Earlier this year, Lee Anne Edwards, one of their land managers, suggested the possibility of placing agricultural conservation easements on one or more of their vineyards in Monterey County. The vineyard managers are investigating this possibility, but nothing has been discussed further as of yet despite continuing efforts to contact Ms. Edwards regarding the option of placing agricultural conservation easements on one or more vineyards in Monterey County.
Identification of Suitable Conservation Easements and Bona Fide Offers.
Pisoni Farms:
Pisoni Farms is a California limited liability company owned by the Pisoni Family. Pisoni Farms owns multiple vineyards in Monterey County, none of which appear to be encumbered with agricultural conservation easements. In follow-up to discussions with Mark Pisoni regarding the family’s interest in possibly encumbering one or more the vineyards, two separate Letters of Intent were sent to Mark on July 9, 2024. The first Letter of Intent was for 180.054 acres in close proximity to the City of Gonzales and the second Letter of Intent was for 281.12 acres further from city limits, but within Monterey County. Both Letters offered to purchase agricultural conservation easements on all or some of the property identified therein for the per acre purchase price of $10,000. Although discussions with Mark continued for some time, ultimately the family decided to hold off on selling agricultural conservation easements at this time. With that in mind, I encouraged them to contact the Monterey County Agricultural Land Trust if they desire to place agricultural conservation easements on their property in the future.
Rincon Farms:
Rincon Farms is a California corporation with multiple avocado groves in Monterey County. Wayne Gullarte, President of Rincon Farms, expressed an interest in encumbering up to 89.75 acres of one avocado grove with an agricultural conservation easement. On August 21, 2024, a Letter of Intent was sent to Wayne wherein we offered to acquire one or more conservation easements on the avocado grove identified in the Letter of Intent for the sum of $10,000 per acre. Later in August, Mr. Gullarte inquired about the offered price which we stated was based on the fair market value of an agricultural conservation easement in Monterey County. The Letter of Intent expired on August 30, 2024; no further communication has occurred with Mr. Gullarte since then.
Identification of Additional Potential Property for Suitable Conservation Easements.
In late fall of 2024, we received the following list of individuals/entities which hold agricultural land in Monterey County:
Costa Family Farms
Nature's Reward (Huntington Farms)
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R C Farms
Rio Farms
D'Arrigo Farms
George Amaral Ranches
Tannimura and Antle
NBINV AF5 LLC
Daryl & Mary McCosker
Henry Hibino
Norman Selva
Dorothy Mae Lanini
Cooper Lanini Farms LLC
Rianda Family Limited Partnership
Pleasant Valley Ranch
On December 4, 2024, the attached Vista Lucia Agricultural Mitigation Term Sheet was sent to these individuals/entities. In response to the Term Sheet, we received communication from Randy Pura, Pleasant Valley Ranch, regarding an interest in encumbering a portion of their agricultural land with a conservation easement for the benefit of the Vista Lucia project. Discussions with Mr.
Pura are ongoing.
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