Agenda packet, regular meeting — Healdsburg City Council, April 17, 2023 (part 1 of 4)

CITY OF HEALDSBURG

CITY COUNCIL/REDEVELOPMENT SUCCESSOR AGENCY

REGULAR MEETING AGENDA
City Hall Council Chamber Meeting Date: April 17, 2023
401 Grove Street Time: 6:00 PM
Healdsburg, CA 95448 Date Posted: April 12, 2023
(707) 431-3317
To join by computer, tablet, or mobile device:

Go to https://zoom.us/join and type in the Webinar ID: 870 1768 0215 or follow this link:
https://cityofhealdsburg-org.zoom.us/s/87017680215 (Pre-registration for the meeting is not required.)
Process to watch the meeting and submit Public Comment as a part of the Zoom Webinar .

1. CALL TO ORDER/ROLL CALL
A. Pledge of Allegiance
B. Approval of Agenda

2. REPORT ON CLOSED SESSION(S)

3. ANNOUNCEMENTS/PRESENTATIONS
A. Proclamation recognizing April 2023 as Sonoma County Wine Month in Healdsburg
B. Annual Marie Sparks Memorial Volunteer Award
Present the annual Marie Sparks Memorial Volunteer Award for 2022 to Andy & Susan Esquivel, and Marisela Pena for outstanding volunteerism benefiting the residents and community of Healdsburg.

4. CITY MANAGER REPORTS

5. PUBLIC COMMENTS ON NON AGENDA ITEMS
This time is set aside to receive comments from the public regarding matters of general interest not on the agenda, but related to City Council/RSA business. Pursuant to the Brown Act, however, the City Council cannot consider any issues or take action on any requests during this comment period. Public comment on non-agenda items is limited to thirty (30) minutes total for all speakers, with each speaker given no more than three (3) minutes. If there are more than ten (10) audience/public comment speakers, the Mayor may reduce each speaker’s time from three (3) minutes so that all speakers have an equal time to speak. At the Mayor’s discretion, the public comment period may be extended past 30 minutes. Members from the public wishing to speak on a Consent Agenda item should notify the Mayor during Public Comments.

City Council/RSA Regular Meeting Agenda
April 17, 2023

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6. CONSENT CALENDAR
The following items listed on the Consent Calendar are considered routine in nature or have been previously reviewed by the Council and require little or no further discussion by the Council, public, or applicant and action will be taken by the City Council by a single motion. A Councilmember may request that an item be removed from the Consent Calendar and action taken separately. Consent by a majority of the Councilmembers present will be required in order to remove the item. In the event an item is removed, the matter will be considered immediately following the adoption of the Consent Calendar.

A. Approval of Minutes
By motion, approve the November 21, 2022 Regular Meeting Minutes.

B. Accept a Recycled Water Public Utility Easement at APN 110-120-004 Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from John Charles Bacigalupi at a portion of APN 110-120-004.

C. Accept a Recycled Water Public Utility Easement at APN 110-130-022 Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from the 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable trust at a portion of APN 110-130-022.

D. Accept a Recycled Water Public Utility Easement at APN 110-120-007 Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from G3 Enterprises, Inc. at a portion of APN 110-120-007.

E. 2023-2025 Biosolids Hauling and Disposing Contract
Adopt a Resolution awarding Recology, Inc. the contract to haul and dispose of biosolids and authorizing the City Manager to execute a contract for a term of two years at $205,403 per year, for the not to exceed amount of $410,806.

F. Healdsburg Avenue Complete Streets Improvements
Adopt a Resolution authorizing the filing of an application for funding assigned to the Metropolitan Transportation Commission and committing any necessary matching funds and stating assurance to complete the project.

G. 2023 Annual Water Supply Update as required by the 2020 Urban Water Management Plan
Receive a report regarding the status of the City's water supply and forecasted water demands through June 2025.

City Council/RSA Regular Meeting Agenda
April 17, 2023

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H. Rejection of all bids received for the Healdsburg Municipal Airport Construct New Taxiway A2, Remove Taxiway A2, A3, A5, and Abandoned Pavement, Rehabilitate Taxiway Lighting and Signage Project
Adopt a Resolution rejecting all bids received for the Healdsburg Municipal Airport Construct New Taxiway A2, Remove Taxiway A2, A3, A5, and Abandoned Pavement, Rehabilitate Taxiway Lighting and Signage Project and direct staff to revise and readvertise the project.

I. Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project Adopt a Resolution requesting Metropolitan Transportation Commission allocation of Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project funding for Fiscal Year 2021-22 of $125,000 for the FY 2023-24 Sidewalk Repair and Gap Closures Project.

J. Healdsburg Municipal Code Amendments to Allow for Commercial Cannabis Uses Pass an ordinance repealing Healdsburg Municipal Code Chapter 8.32: Medical Marijuana Dispensaries; amending Section 20.08.145: Permitted and Conditionally Permitted Uses in the Plaza Retail (PR), Downtown Commercial (CD), and Service Commercial (CS) Districts; amending Section 20.08.155: Permitted and Conditionally Permitted Uses in the Mixed Use (MU) District; amending Section 20.08.195: Permitted and Conditionally Permitted Uses in the Industrial (I) District; adding a new Section

20.20.095: Commercial Cannabis Uses and Requirements; amending Section 20.20.100:

Marijuana Cultivation, Possession and Use; amending Section 20.28.310: Definitions; and related CEQA Exemption.

K. Adopt Retail Cannabis Business Application Process Fees Adopt a Resolution adding certain discretionary user fees related to retail cannabis permit applications.

L. National Opioid Litigation Settlement
Adopt a Resolution authorizing the City Manager to take all necessary actions to settle claims against CVS, Allergan, Teva, Walmart, and Walgreens in the National Opioid Litigation (In Re: National Prescription Opiate Litigation (U.S.D.C. Case NO. 1:17-CV2804)) and execute related settlement agreements.

M. Ordinance Approving the Development Agreement by and between the City of Healdsburg and Freebird Development Company, LLC, for the Saggio Hills Affordable Housing Project (DA 2023-01)
City Council/RSA Regular Meeting Agenda
April 17, 2023

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Pass an ordinance upon second reading by title only and waiving further reading of the text, approving the Development Agreement by and between the City of Healdsburg and Freebird Development Company, LLC, for the Saggio Hills Affordable Housing Project.

7. PUBLIC HEARINGS
A. Introduction of ordinance approving Fourth Amendment to the Development Agreement between City of Healdsburg and CCS Healdsburg, LLC in reliance on the certified NEAP EIR and with adoption of a CEQA exemption pursuant to Public Resources Code section 21083.3 and CEQA Guidelines section 15183 By motion, introduce for first reading, by title only and waiving the full reading of the text, an ordinance amending the Development Agreement by and between the City of Healdsburg and CCS Healdsburg, LLC, for the North Village Project to modify the affordability levels for the affordable housing component of the North Village Project in reliance on the certified NEAP EIR and with adoption of a CEQA exemption pursuant to Public Resources Code section 21083.3 and CEQA Guidelines section 15183.

B. General Plan Amendment GPA 2022-01, Land Use Amendment LUA 2022-01, and Mitigated Negative Declaration and Mitigation Monitoring and Reporting Plan for the Foley Family Community Pavilion located at 3 North Street

1. Adopt a Resolution adopting the Mitigated Negative Declaration (MND) and the Mitigation Monitoring and Reporting Plan (MMRP); and

2. Adopt a Resolution amending the Healdsburg 2030 General Plan land use designation for the Foley Family Community Pavilion site; and

3. Introduce for first reading, by title only, waiving further reading of the text, an Ordinance amending the City of Healdsburg Zoning Map for the Foley Family Community Pavilion site.

8. OLD BUSINESS
A. Electric Cost of Service Analysis and Discussion of Electric Rates Receive a presentation on the preliminary results for the electric cost of service analysis and provide direction regarding the development of electric rates.

B. Updated Draft Cannabis Dispensary Application Process, Scoring, and Criteria

1. Receive a presentation from City Staff on the proposed process and scoring criteria to be included in the application process for commercial cannabis businesses; and City Council/RSA Regular Meeting Agenda
April 17, 2023

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2. Adopt a Resolution establishing procedure guidelines and review criteria to govern the application and selection process for cannabis storefront retail permits and determining that the adoption of these procedure guidelines and review criteria is exempt from review under CEQA pursuant to CEQA guidelines sections 15061(b)(3) and 15378(b)(2).

C. L&M Village Quarterly Update
Receive the L&M Village quarterly update and provide feedback to staff.

9. NEW BUSINESS
None.

10. COUNCIL REPORTS ON MATTERS OF INTEREST OCCURRING SINCE

PREVIOUS REGULAR MEETING/EXPENSE REIMBURSEMENT REPORTS

11. WRITTEN COMMUNICATIONS

12. ADJOURN CITY COUNCIL / RSA MEETING

13. FUTURE AGENDA ITEMS
A. Future Agenda Items for 2023
SB 343 - DOCUMENTS RELATED TO OPEN SESSION AGENDAS: Any writings or documents provided to a majority of the City Council/Redevelopment Successor Agency Board regarding any item on this agenda after the posting of this agenda and not otherwise exempt from disclosure, will be made available for public review in the City Clerk's Office located at City Hall, 401 Grove Street, Healdsburg, during normal business hours. If supplemental materials are made available to the members of the City Council/Redevelopment Successor Agency Board at the meeting, a copy will be available for public review at the City Hall Council Chambers, 401 Grove Street, Healdsburg, CA 95448.

These writings will be made available in appropriate alternative formats upon request by a person with a disability, as required by the Americans with Disabilities Act.

DISABLED ACCOMMODATIONS: The City of Healdsburg will make reasonable accommodations for persons having special needs due to disabilities. Please contact Raina Allan, City Clerk, at Healdsburg City Hall, 401 Grove Street, Healdsburg, California, 431-3317, at least 72 hours prior to the meeting, to ensure the necessary accommodations are made.

CIUDAD DE HEALDSBURG

CONSEJO MUNICIPAL/AGENCIA DE DESARROLLO SUCESORA
ORDEN DEL DÍA DE LA REUNIÓN HABITUAL DEL CONSEJO

MUNICIPAL
City Hall Council Chamber
(Salón del Consejo Municipal) Fecha de la reunión: 17 de abril de 2023 401 Grove Street Hora: 6:00 pm
Healdsburg, CA 95448 Fecha de publicación: 12 de abril de 2023 (707) 431-3317
Para participar por computadora, tableta o dispositivo móvil:

Vaya a https://zoom.us/join y teclee el número de identificación (ID) del seminario web: 870 1768 0215 o siga este enlace: https://cityofhealdsburg-org.zoom.us/s/87017680215 (No es necesario inscribirse previamente a la reunión).

Para enviar comentarios públicos como parte del seminario web de Zoom. .

1. LLAMADA AL ORDEN/PASAR LISTA
A. Juramento a la bandera
B. Aprobación del orden del día

2. INFORME SOBRE LA SESIÓN/LAS SESIONES A PUERTA CERRADA

3. ANUNCIOS/PRESENTACIONES
A. Proclamación por la cual se reconoce abril de 2023 como el Mes de Vino del condado de Sonoma en Healdsburg
B. Premio anual Marie Sparks al voluntariado
Presentar el premio anual Marie Sparks Memorial Volunteer Award de 2022 a Andy & Susan Esquivel, y Marisela Pena por su destacado voluntariado en beneficio de los residentes y la comunidad de Healdsburg.

4. INFORMES DEL GERENTE DE LA CIUDAD

5. COMENTARIOS PÚBLICOS SOBRE LOS PUNTOS EN EL CALENDARIO ACORDADO Y LOS PUNTOS NO INCLUIDOS EN EL ORDEN DEL DÍA
Este tiempo se reserva para recibir comentarios del público sobre asuntos de interés general no incluidos en el orden del día, pero relacionados con los asuntos del Consejo Municipal/RSA. Sin embargo, conforme la Ley Brown, el Consejo Municipal no puede considerar temas o tomar medidas sobre cualquier solicitud hecha durante este período de comentario. Los comentarios del público sobre los puntos no incluidos en el orden del día están limitados a treinta (30) minutos en Orden del día de la Reunión Habitual del Consejo Municipal /RSA 17 de abril de 2023
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total para todos los oradores, concediéndose a cada orador un máximo de tres (3) minutos. Si hay más de diez (10) comentarios públicos, el alcalde puede reducir el tiempo de tres (3) minutos de cada orador para que así todos los oradores tengan el mismo tiempo para hablar. A discreción del alcalde, el periodo de comentarios del público podrá prolongarse más de 30 minutos. Los miembros del público que deseen hablar sobre un asunto en el orden del día acordado deben notificárselo al alcalde durante los comentarios públicos.

6. CALENDARIO ACORDADO
Los siguientes puntos enumerados en el orden del día acordado se consideran rutinarios o han sido revisados previamente por el Consejo y requieren poca o ninguna discusión por parte del Consejo, el público o solicitante y el Consejo Municipal tomará medidas en una sola moción. Un miembro del consejo puede solicitar que se excluya un punto del calendario acordado y se pueden tomar medidas por separado. Para excluir un punto, se requiere el consentimiento de una mayoría de los miembros del consejo presentes. En caso de que se excluya un punto, el asunto se considerará de inmediato después de la adopción del orden del día acordado.

A. Aprobación de las Actas
Por moción, aprobar las Actas de la Reunión Ordinaria del 21 de noviembre de 2022.

B. Aceptar un derecho de paso para servicios públicos de agua reciclada en APN 110- 120-004
Adoptar una resolución por la cual se acepta la dedicación de un derecho de paso para servicios públicos de agua reciclada de John Charles Bacigalupi en una parte del APN 110-120-004.

C. Aceptar un derecho de paso para servicios públicos de agua reciclada en APN 110- 130-022
Adoptar una resolución por la cual se acepta la dedicación de un derecho de paso para servicios públicos de agua reciclada del fideicomiso revocable de 1999 de Dennis De La Montanya y Tina S. De La Montanya en una parte del APN 110-130-022.

D. Aceptar un derecho de paso para servicios públicos de agua reciclada en APN 110- 120-007
Adoptar una resolución por la cual se acepta la dedicación de un derecho de paso para servicios públicos de agua reciclada de G3 Enterprises, Inc. en una parte del APN 110- 120-007.

E. Contrato de transporte y eliminación de biosólidos de 2023-2025 Orden del día de la Reunión Habitual del Consejo Municipal /RSA 17 de abril de 2023
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Adoptar una Resolución por la que se adjudica a Recology, Inc. el contrato de transporte y eliminación de biosólidos y se autoriza al Administrador Municipal a suscribir un contrato por un plazo de dos años a razón de 205.403 dólares anuales, por un importe máximo de 410.806 dólares.

F. Mejoras de "calles completas" en la Healdsburg Avenue Adoptar una Resolución por la que se autoriza la presentación de una solicitud de financiación asignada a la Comisión de Transporte Metropolitano y se comprometen los fondos complementarios necesarios y se declara la garantía de completar el proyecto.

G. Actualización anual del suministro de agua para 2023, tal y como exige el Plan de Gestión del Agua Urbana para 2020
Recibir un informe de la condición del suministro de agua de la Ciudad y la previsión de la demanda de agua hasta junio de 2025.

H. Rechazo de todas las ofertas recibidas para el Aeropuerto Municipal de Healdsburg para el proyecto de construcción de la nueva pista de rodaje A2, eliminación de las pistas de rodaje A2, A3, A5 y del pavimento abandonado, rehabilitación de la iluminación y señalización de la pista de rodaje.

Rechazo de todas las ofertas recibidas para el Aeropuerto Municipal de Healdsburg para el proyecto de construcción de la nueva pista de rodaje A2, eliminación de las pistas de rodaje A2, A3, A5 y del pavimento abandonado, rehabilitación de la iluminación y señalización de la pista de rodaje y dar instrucciones al personal para que revise y vuelva a anunciar el proyecto.

I. Ley de Desarrollo del Transporte Artículo 3 (TDA3) Proyecto para peatones y ciclistas
Adoptar una Resolución por la que se solicita a la Comisión de Transporte Metropolitano la asignación de fondos del Proyecto para Peatones y Ciclistas del Artículo 3 de la Ley de Desarrollo del Transporte (TDA3) para el año fiscal 2021/2022 de $125,000 para el Proyecto de Reparación de Aceras y Cierre de Espacios del año fiscal 23/24.

J. Enmiendas al Código Municipal de Healdsburg para permitir usos comerciales del cannabis
Orden del día de la Reunión Habitual del Consejo Municipal /RSA 17 de abril de 2023
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Aprobar una ordenanza en segunda lectura sólo por el título y renunciando a una nueva lectura del texto, por la que se revoca el Capítulo 8.32 del Código Municipal de Healdsburg: Dispensarios de marihuana medicinal; modificación de la sección 20.08.145:

Usos permitidos y permitidos condicionalmente en los distritos Plaza Retail (PR), Downtown Commercial (CD) y Service Commercial (CS); por la que se modifica la sección 20.08.155: Usos permitidos y permitidos condicionalmente en el distrito de uso mixto (MU); por la que se modifica la sección 20.08.195: Usos permitidos y permitidos condicionalmente en el distrito industrial (I); por la que se agrega la sección 20.20.095:

Usos y requisitos comerciales del cannabis; por la que se modifica la sección 20.20.100:

Cultivo, posesión y consumo de marihuana; modificación de la sección 20.28.310:

Definiciones; y Exención CEQA relacionada.

K. Adoptar tasas para el proceso de solicitud de negocios minoristas de cannabis Adoptar una Resolución que establezca las tasas para los solicitantes de negocios de cannabis al por menor y los procesos relacionados.

L. Acuerdo nacional de litigios sobre opiáceos
Adoptar una Resolución que autorice al Administrador Municipal a tomar todas las medidas necesarias para resolver las demandas contra CVS, Allergan, Teva, Walmart y Walgreens en el Litigio Nacional sobre Opiáceos (In Re: National Prescription Opiate Litigation (U.S.D.C. Case NO. 1:17-CV-2804)) y ejecutar los acuerdos de conciliación relacionados.

M. Acuerdo de desarrollo por y entre la ciudad de Healdsburg y Freebird Development Company, LLC
Aprobar una ordenanza en segunda lectura sólo por el título y renunciando a una nueva lectura del texto, una Ordenanza por la que se aprueba el Acuerdo de Desarrollo por y entre la Ciudad de Healdsburg y Freebird Development Company, LLC, para el Proyecto de Viviendas Asequibles de Saggio Hills.

7. AUDIENCIAS PÚBLICAS
A. Presentación de la ordenanza por la que se aprueba la Cuarta Enmienda al Acuerdo de Desarrollo entre la Ciudad de Healdsburg y CCS Healdsburg, LLC Orden del día de la Reunión Habitual del Consejo Municipal /RSA 17 de abril de 2023
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Por moción, introducir para primera lectura, sólo por título y renunciando a la lectura completa del texto, una ordenanza que modifique el Acuerdo de Desarrollo por y entre la Ciudad de Healdsburg y CCS Healdsburg, LLC, para el Proyecto North Village para modificar los niveles de asequibilidad para el componente de vivienda asequible del Proyecto North Village en dependencia del NEAP EIR certificado y con la adopción de una exención CEQA de conformidad con la sección 21083.3 del Código de Recursos Públicos y la sección 15183 de las Directrices CEQA.

B. Enmienda al Plan General GPA 2022-01, Enmienda al Uso de Suelo LUA 2022-01, y Declaración Negativa Mitigada y Plan de Monitoreo y Reporte de Mitigación para el Pabellón Comunitario de la Familia Foley ubicado en 3 North Street

1. Adoptar una Resolución (Anexo 1) por la que se adopte la Declaración Negativa Mitigada (MND) y el Plan de Seguimiento e Información de la Mitigación (MMRP).

2. Adoptar una Resolución (Anexo 2) para modificar la designación del uso de suelo del Plan General de Healdsburg 2030 para el sitio del Pabellón Comunitario de la Familia Foley, 3) presentar para primera lectura una ordenanza (Anexo 3) que modifique el Mapa de Zonificación de la Ciudad de Healdsburg para el sitio del Pabellón Comunitario de la Familia Foley.

8. ASUNTOS PENDIENTES
A. Análisis del costo del servicio del Departamento de Electricidad y discusión de las tarifas eléctricas
Recibir un informe preliminar sobre el Análisis del Costo del Servicio Eléctrico y, mediante moción, dar instrucciones al personal sobre el desarrollo de las tarifas eléctricas.

B. Borrador actualizado del proceso de solicitud de dispensarios de cannabis, puntuación y criterios

1. Recibir una presentación del personal de la ciudad sobre el proceso propuesto, los criterios y el proceso de resolución de disputas que se incluirán en el proceso de solicitud para los dispensarios de cannabis al por menor y

2. Adoptar una Resolución por la que se establecen directrices de procedimiento y criterios de revisión para regir el proceso de solicitud y selección de permisos de venta al por menor en tiendas de cannabis y se determina que la adopción de estas directrices de procedimiento y criterios de revisión está exenta de revisión en virtud de la CEQA de conformidad con las directrices de la CEQA, secciones 15061(b)(3) y 15378(b)(2).

Orden del día de la Reunión Habitual del Consejo Municipal /RSA 17 de abril de 2023
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C. Actualización sobre L&M Village
Recibir una actualización de la L&M Village y presentar su opinión al personal.

9. ASUNTOS NUEVOS
Ninguna.

10. INFORMES DEL CONSEJO SOBRE ASUNTOS DE INTERÉS QUE HAN OCURRIDO DESDE LA REUNIÓN HABITUAL ANTERIOR/INFORMES DE

REEMBOLSO DE GASTOS

11. COMUNICACIONES ESCRITAS

12. LEVANTAR LA REUNIÓN DEL CONSEJO MUNICIPAL/RSA

13. PUNTOS FUTUROS PARA EL ORDEN DEL DÍA
A. Futuros puntos del orden del día para 2023
SB 343 - DOCUMENTOS RELACIONADOS CON EL ÓRDEN DEL DÍA DE LAS SESIONES ABIERTAS: Cualquier escrito o documento provisto a una mayoría de la Junta del Consejo Municipal/Agencia de Desarrollo Sucesora con respecto a cualquier punto en este orden del día después de la publicación de la misma y que no esté exento de divulgación, se pondrá a disposición del público en la Oficina de la Secretaría Municipal ubicada en City Hall, 401 Grove Street, Healdsburg, durante horas hábiles. Si el material complementario se pone a disposición de los miembros de la Junta del Consejo Municipal/Agencia de Desarrollo Sucesora, una copia estará disponible para la revisión pública en las Cámaras del Consejo Municipal, 401 Grove Street, Healdsburg, CA 95448.

Estos escritos se pondrán a disposición en formatos alternativos apropiados a petición de una persona con discapacidad, tal y como exige la Ley de Estadounidenses con Discapacidades.

ADAPTACIONES POR DISCAPACIDAD: La ciudad de Healdsburg hará adaptaciones razonables para las personas con necesidades especiales debidas a discapacidades. Por favor, contacte a Raina Allan, secretaria municipal, en Healdsburg City Hall, 401 Grove Street, Healdsburg, California, 431-3317, por lo menos 72 horas antes de la reunión para garantizar que se realicen las adaptaciones necesarias.

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Annual Marie Sparks Memorial Volunteer Award
PREPARED BY: Anna Grant, Active Adult and Senior Services Supervisor STRATEGIC INITIATIVE(S):

Provide Resident-Driven Community Services
RECOMMENDED ACTION(S):

Present the annual Marie Sparks Memorial Volunteer Award for 2022 to Andy & Susan Esquivel, and Marisela Pena for outstanding volunteerism benefiting the residents and community of Healdsburg.

COMMUNITY ENGAGEMENT/OUTREACH:

Past Marie Sparks Award winners were notified vie email message on March 7, 2023 to nominate individuals for the 2022 award. The past Marie Sparks Award recipients held a nomination committee on April 7, 2023 and selected the 2022 winners. On March 31, 2023, the selection committee, with representation from City staff, presented Andy and Susan Esquivel and Marisela Peña with this recognition and invited them to accept their award at the April 17 , 2023 City Council meeting.

BACKGROUND:

Marie Sparks, born September 14, 1914, was a woman of vision, compassion, and grit. A nononsense kind of person, Marie saw needs in our community ranging from seniors to children and animals. Asking for help was easy for Marie: she just did not take no for an answer.

Marie rubbed shoulders with Federal and State legislators as easily as she did with the poorest of the poor in our community. Marie was a low-income senior who did not let the lack of her own resources stand in her way. She had the ability to inspire others to work with her, to get to the heart of a problem, and to find a solution. She left a legacy of good works, many admiring friends, and a stronger community.

After her death on April 10, 1995, the Healdsburg City Council wanted to remember Marie’s giving and unselfish spirit with the Annual Marie Sparks Memorial Volunteer Award. This award gives the City the opportunity to recognize and pay tribute to the many outstanding

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volunteers who serve residents and organizations of Healdsburg, and celebrates those who dedicate their time to be stewards and leaders of the community. The presentation of the award is made annually in April to coincide with National Volunteer Appreciation Month.

A selection committee comprised of the previous award recipients recommends the current year’s recipient based on the award selection criteria. The selection committee is pleased to announce that the 2022 award recipients are Andy and Susan Esquivel, and Marisela Peña.

DISCUSSION/ANALYSIS:

Andy and Susan Esquivel
Andy and his wife Susan started the “Live Like Drew Foundation after the loss of their collegeaged son. Live Like Drew has donated thousands of dollars to multiple charities throughout Healdsburg. Most recently, Andy, Susan & the Foundation donated $10,000 to the Healdsburg High School Boosters from their Healdsburg Turkey Trot fundraiser.

Marisela Peña
Marisela works at Healdsburg Elementary School as a paraprofessional with a passion for running. She has been leading/coaching a free of charge youth running program in Healdsburg at the Healdsburg High School track for years. Marisela volunteers frequently at the weekly Healdsburg Elementary School food pantry. And is an active volunteer with Healdsburg Running Company events and Corazon Healdsburg.

Andy, Susan, and Marisela will be in attendance at the April 17, 2023 City Council Meeting to accept the Marie Sparks Volunteer of the Year Award and be honored by previous award recipients with a short slideshow presentation and awarded with a plaque from City Council.

ENVIRONMENTAL STEWARDSHIP:

Not applicable.

ALTERNATIVES:

Do not make the award and provide direction to staff.

FISCAL IMPACT:

None.

ENVIRONMENTAL ANALYSIS:

The Marie Sparks Volunteer of the Year Award is not subject to the provisions of the California Environmental Quality Act (CEQA) because The Marie Sparks Volunteer of the Year is not a project, since it will not have a direct or reasonably foreseeable indirect impact on the environment.

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CITY OF HEALDSBURG

PROCLAMATION

A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG RECOGNIZING APRIL 2023 AS SONOMA

COUNTY WINE MONTH IN THE CITY OF HEALDSBURG
WHEREAS, Sonoma County is welcoming the start of another fruitful growing season this spring; and
WHEREAS, in Sonoma County, more than 400 wineries produce wines from more than 60 grape varieties in 19 designated American Viticultural Areas; and WHEREAS, many wine grapes thrive in this wonderland stretching from cliffs overlooking the Pacific Ocean to mountains and valleys blanketed in microclimates; and WHEREAS, the wine industry is a point of pride and economic vitality for the City of Healdsburg, drawing visitors from around the world, enriching the lives of local residents, and creating thousands of jobs for local residents; and
WHEREAS, Sonoma County Vintners is the leading voice of Sonoma County wine, dedicated to raising awareness of Sonoma County as one of the world’s premier wine regions; and WHEREAS, Sonoma County Vintners represents over 250 wineries throughout the county; and
WHEREAS, Sonoma County wineries will celebrate Wine Month with an array of creative, innovative and diverse offerings throughout Sonoma County.

NOW, THEREFORE, BE IT PROCLAIMED, that the City Council of the City of Healdsburg hereby recognizes April 2023 as Sonoma County Wine Month in the City of Healdsburg.

DATED: APRIL 17, 2023
SO ORDERED:
__________________________________
Ariel Kelley, Mayor

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Attachment: Proclamation (4019 : Sonoma County Wine Month)

CITY OF HEALDSBURG

CITY COUNCIL/REDEVELOPMENT SUCCESSOR AGENCY

REGULAR MEETING MINUTES
November 21, 2022
City Hall Council Chamber
401 Grove Street, Healdsburg
.

CALL TO ORDER/ROLL CALL
Mayor/Chairperson Jimenez called to order the concurrent meeting of the City Council and Redevelopment Successor Agency of the City of Healdsburg at 6:01 P.M. with the following Councilmembers present/absent:

Present: Councilmembers/: Hagele, Kelley, Mitchell and Mayor Jimenez Board Members

Absent: Councilmembers/: None
Board Members

APPROVAL OF AGENDA
City Clerk Allan informed Council Item 6Q would be removed from the Consent Calendar for discussion.

On a motion by Councilmember Hagele, seconded by Councilmember Mitchell, approved the November 21, 2022 City Council and Redevelopment Successor Agency meeting agenda as amended. The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent -None)

REPORT ON CLOSED SESSION(S)
Mayor Jimenez reported a Closed Session was held prior to the meeting and direction was given to staff.

ANNOUNCEMENTS/PRESENTATIONS
None.

CITY MANAGER REPORTS
City Manager Kay announced the City had the new Fire Department ladder truck at City Hall this evening and provided a few facts about the new ladder truck, informed Council of the funding received to assist with past due utility bills and reviewed the upcoming holiday events happening in December.

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PUBLIC COMMENTS ON ITEMS ON THE CONSENT CALENDAR AND NONAGENDA ITEMS Lee Edwards commented on the conduct of a councilmember.

Tyra Benoit thanked Assistant City Manager Sturmfels for his assistance with co-sponsoring Healdsburg Climate Actions’ Earth Day event in the Plaza.

Adina Flores commented on the conduct of a councilmember and read aloud a statement on investments of local political constituents.

Shelby Pryor commented on the conduct of a councilmember.

Maria commented on the conduct of a councilmember.

Kelly commented on the conduct of a councilmember.

CONSENT CALENDAR
On a motion by Councilmember Mitchell, seconded by Vice Mayor Kelley, approved the Consent Calendar as follows:

A. APPROVAL OF MINUTES
By motion, approved the June 21, 2022 Regular Meeting Minutes and the August 1, 2022 Regular Meeting Minutes.” (Ayes, 4, Noes 0, Absent – None) B. RECEIVE THE MONTHLY INVESTMENT REPORT FOR SEPTEMBER 2022 By motion, received and approved the Monthly Treasurer’s Investment Report for September 2022. (Ayes 4, Noes 0, Absent - None)
C. APPROVAL OF DISBURSEMENT REPORT FOR WITHDRAWALS DURING THE MONTH OF SEPTEMBER 2022
By motion, approved the Disbursement Report for September 2022. (Ayes 4, Noes 0, Absent - None)
D. ACCEPT A DEDICATION OF AN EMERGENCY VEHICLE ACCESS EASEMENT FOR 1050 SUNSET DRIVE (APN: 087-234-061)

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Adopted Resolution No. 160-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG ACCEPTING A DEDICATION OF EMERGENCY VEHICLE ACCESS EASEMENT FOR 1050 SUNSET DRIVE (APN: 087-234-061).” (Ayes, 4, Noes 0, Absent – None)
E. ACCEPTANCE OF A PUBLIC STORM DRAIN LINE EASEMENT AT 1050 SUNSET DRIVE (APN: 087-234-061)
Adopted Resolution No. 161-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG ACCEPTING A DEDICATION OF A PUBLIC STORM DRAIN LINE EASEMENT AT 1050 SUNSET DRIVE (APN: 087-234-061).” (Ayes, 4, Noes 0, Absent – None)
F. BUSINESS LICENSE PROCESS MODERNIZATION
Adopted Resolution No. 162-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG APPROVING AN AGREEMENT WITH OPENGOV FOR THE MODERNIZATION OF THE CITY’S BUSINESS LICENSE PROCESS FOR A FIVE-YEAR TERM IN AN AMOUNT NOT TO EXCEED $143,532 AND
AUTHORIZING A BUDGET AMENDMENT TO IMPLEMENT THE CONTRACT.” (Ayes, 4, Noes 0, Absent – None)
G. AUTHORIZED POSITION CHANGES AND SIDE LETTER AGREEMENT WITH IBEW 1245
Adopted Resolution No. 163-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HEALDSBURG RESCINDING RESOLUTION NO. 107-2022,

REESTABLISHING THE LIST OF AUTHORIZED POSITIONS, AND APPROVING

AND AUTHORIZING THE CITY MANAGER TO EXECUTE A SIDE LETTER

BETWEEN THE CITY OF HEALDSBURG AND THE INTERNATIONAL
BROTHERHOOD OF ELECTRICAL WORKERS LOCAL 1245 ESTABLISHING A SALARY RANGE FOR THE UTILITY OPERATOR IN TRAINING CLASSIFICATION.” (Ayes, 4, Noes 0, Absent – None)
H. SENIOR CENTER DINING PROGRAM CONTRACT
Adopted Resolution No. 164-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG WAIVING THE COMPETITIVE BID PROCESS,

APPROVING AN AMENDMENT TO A PROFESSIONAL SERVICES AGREEMENT

WITH CATERED BY PATTI FOR THE SENIOR DINING PROGRAM IN AN AMOUNT

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NOT TO EXCEED $44,835 AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AMENDMENT.” (Ayes, 4, Noes 0, Absent – None)
I. AUTHORIZE THE CITY MANAGER TO ENTER GRANT AGREEMENTS WITH

THE DEPARTMENT OF WATER RESOURCES
Adopted Resolution No. 165-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG AUTHORIZING THE CITY MANAGER TO PREPARE

AND FILE DEPARTMENT OF WATER RESOURCES GRANT APPLICATIONS,

SUBMIT REQUIRED DOCUMENTS, INVOICES, AND REPORTS REQUIRED TO

OBTAIN DEPARTMENT OF WATER RESOURCES GRANTS, AND AUTHORIZING

THE CITY MANAGER TO EXECUTE FUNDING AGREEMENTS WITH
DEPARTMENT OF WATER RESOURCES.” (Ayes, 4, Noes 0, Absent – None) J. PASS VARIOUS HEALDSBURG MUNICIPAL CODE, TITLE 20 LAND USE CODE

AMENDMENTS
Adopted Ordinance No. 1219, titled “AN ORDINANCE OF THE CITY COUNCIL OF THE

CITY OF HEALDSBURG AMENDING HEALDSBURG MUNICIPAL CODE SECTIONS

20.16.150: NUMBER OF REQUIRED VEHICULAR PARKING SPACES; 20.08.145:

PERMITTED AND CONDITIONALLY PERMITTED USES (PR, CD AND CS DISTRICTS), TABLE 10; SECTION 20.20.075: ALCOHOLIC BEVERAGE ESTABLISHMENTS; SECTION 20.28.310: DEFINITIONS.” (Ayes, 4, Noes 0, Absent – None)
K. RINCON CONSULTANTS – PROFESSIONAL SERVICES AGREEMENT Adopted Resolution No. 166-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG APPROVING A PROFESSIONAL SERVICES

AGREEMENT WITH RINCON CONSULTANTS, AUTHORIZING THE CITY

MANAGER TO EXECUTE THE AGREEMENT, AND AMENDING THE FISCAL YEAR 2022-23 BUDGET.” (Ayes, 4, Noes 0, Absent – None)
L. UPDATING THE CITY’S ALTERNATE ELECTRIC RATE (CARE) PREAPPROVED DISCOUNTS BY ADDING THE RANDALL APARTMENTS Adopted Resolution No. 167-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HEALDSBURG AMENDING RESOLUTIONS NO. 137-2001, NO. 16- 2016, AND NO. 44-2020 TO EXTEND THE PRE-APPROVAL OF LOW-INCOME ELECTRIC DISCOUNTS TO TENANTS OF THE RANDALL APARTMENTS AT 111 SAWMILL CIRCLE.” (Ayes, 4, Noes 0, Absent – None)

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M. AUTHORIZE THE CITY MANAGER TO ENTER GRANT AGREEMENTS WITH

THE STATE WATER RESOURCES CONTROL BOARD FOR ENERGY AUDIT AT

THE WATER RECLAMATION FACILITY
Adopted Resolution No. 168-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG AUTHORIZING THE CITY MANAGER TO PREPARE

AND FILE A STATE WATER RESOURCES CONTROL BOARD GRANT

APPLICATION, SUBMIT REQUIRED DOCUMENTS, INVOICES, AND REPORTS

REQUIRED TO OBTAIN STATE WATER RESOURCES CONTROL BOARD ENERGY

AUDIT GRANT, AND AUTHORIZING THE CITY MANAGER TO EXECUTE

FUNDING AGREEMENTS WITH THE STATE WATER RESOURCES CONTROL BOARD.” (Ayes, 4, Noes 0, Absent – None)
N. EES CONSULTING – PROFESSIONAL SERVICES AGREEMENT
Adopted Resolution No. 169-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG APPROVING A PROFESSIONAL SERVICES

AGREEMENT WITH EES CONSULTING TO DEVELOP AN ELECTRIC COST OF

SERVICE STUDY AND PROPOSED RATE STRUCTURE FOR AN AMOUNT NOT TO EXCEED $38,560, AND AUTHORIZING THE CITY MANAGER TO APPROVE CHANGE ORDERS UP TO 15% OF THE ORIGINAL FEE PROPOSAL.” (Ayes, 4, Noes 0, Absent – None)
O. APPOINTMENT OF SENIOR CITIZEN ADVISORY COMMISSIONER
By motion, appointed Linda Go to the Senior Citizen Advisory Commission for a term of two years and two months due to expire January 1, 2025. (Ayes, 4, Noes 0, Absent – None) P. ADOPTION OF RESOLUTION AUTHORIZING REMOTE MEETINGS
Adopted Resolution No. 170-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF HEALDSBURG AND ON BEHALF OF COMMISSIONS AND

COMMITTEES CREATED BY THE CITY COUNCIL PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 54952(b) AUTHORIZING TELECONFERENCE MEETINGS IN COMPLIANCE WITH AB 361 (GOVERNMENT CODE SECTION 54953(e)) TO CONTINUE TO ALLOW MEMBERS OF THE PUBLIC TO SAFELY PARTICIPATE IN LOCAL GOVERNMENT MEETINGS.” (Ayes, 4, Noes 0, Absent – None)

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Q. COMMUNITY SERVICES REQUEST FOR ROAD CLOSURE ON DECEMBER 2, 2022 FOR MERRY HEALDSBURG
This item was removed from the Consent Calendar for further discussion.

The motion to approve the Consent Calendar as above carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None)
COMMUNITY SERVICES REQUEST FOR ROAD CLOSURE ON DECEMBER 2, 2022

FOR MERRY HEALDSBURG
Recreation Supervisor Milde requested Council authorize additional road closures on Center Street, between North Street & Matheson Street and Plaza Street, between Healdsburg Avenue & East Street between 3:00 and 11:00 p.m.

Public Comment
Tallia Hart, CEO Chamber of the Commerce, encouraged Council to approve the additional road closures to allow for additional carriage rides.

On a motion by Councilmember Hagele, seconded by Councilmember Mitchell approved the Community Services Department’s request to implement road closures on Center Street, between North Street & Matheson Street and Plaza Street, between Healdsburg Avenue & East Street between 3:00 and 11:00 p.m. for the proposed Merry Healdsburg event on December 2, 2022.

The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None)

PUBLIC HEARINGS
None.

OLD BUSINESS – HOUSING ELEMENT WORK GROUP, WORK PLAN
Housing Director Sotomayor stated the action this evening was to adopt a resolution approving the continued work plan for the Housing Element Work Group (HEWG). Director Sotomayor reviewed the timeline to complete the draft Housing Element, Director Sotomayor provided information on the proposed continued work for the HEWG including Downtown Housing Development Capacity Study, identifying strategies to achieve “Middle Income Housing” and homeownership opportunities, assessment of the City of Healdsburg’s Growth Management Ordinance (GMO), recommendations on policies and

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programs to address second homes, vacant homes, and underutilized properties and recommendations on expanding housing funding sources.

In response to Council’s inquiries, Director Sotomayor provided information on a timeline to complete the additional work items, the difference between workforce housing, affordable housing and middle-income housing, what reviewing the prohousing designation application would look like, what the main priority of the work plan is, the capacity of the group continuing forward and updating the housing needs assessment.

Public Comment
Deb Kravitz, Chair of the HEWG, expressed a desire to see the HEWG have more engagement with the public.

Jim Heid, Member of the HEWG, commented on the proposed work plan of the HEWG and encouraged moving forward with a capacity study.

Dora thanked the HEWG for the effort on the Housing Element, expressed her desire to purchase a home in Healdsburg and encouraged Council to commit to building more affordable housing.

Cristal Lopez commented on affordable housing opportunities in Healdsburg, the downtown density study and encouraged Council to review zoning to address housing opportunities.

Council Comments
Councilmember Mitchell expressed her thanks to Director Sotomayor for all his work, was in favor of prioritizing the five work items and was in favor of completing the capacity study as the first work item and then expanding housing funding sources as the second work item.

Councilmember Mitchell further expressed her desire to see the HEWG report to Council more and inquired what the timeline would be to complete these tasks.

Vice Mayor Kelley expressed a desire to see housing seminars be conducted during the next phase of the HEWG, was in favor of completing the capacity study as the first work item, expanding housing funding sources as the second work item, to see the HEWG report to Council more and expressed a desire to see second homeownership quantified in Healdsburg. Vice Mayor Kelley inquired if there was interest in asking the current HEWG members if they would like to continue to serve and what is contained in the capacity study.

Mayor Jimenez expressed support for the proposed work plan for the HEWG, including community engagement and completing an inventory of second homes in Healdsburg.

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Councilmember Hagele expressed his thanks for all the work the HEWG has completed to date, was supportive of completing the housing needs assessment, commented on density in the downtown and completing the Housing Action Plan as the first item of business.

Council discussion ensued on completing the density study, inventorying second homes, what types of second homes would be included in the inventory, water availability and staff returning with clear definition on what information would be collected in the study and including regular check-ins with the HEWG.

On a motion by Councilmember Mitchell, seconded by Vice Mayor Kelley, adopted Resolution No. 171-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG EXPANDING THE SCOPE OF WORK OF THE HOUSING ELEMENT WORK GROUP, and modifying the resolution to include quarterly check-ins with the HEWG and prioritizing the Density Study as the first work item. The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None)
OLD BUSINESS – PROFESSIONAL SERVICES AGREEMENT WITH REACH FOR HOME, LEASE FUNDING AND SERVICE AGREEMENT: L&M VILLAGE AND

AMENDMENT OF CONTRACT WITH DRM BUILDERS FOR REHABILITATION OF THE L&M VILLAGE TO INCREASE THE CONTRACT CONTINGENCY BY 6% IN THE AMOUNT OF $80,926
Housing Director Sotomayor stated he would be presenting Items 8A,B&C together this evening.

Director Sotomayor reviewed the actions needed this evening, provided background information on the agreements before Council and announced participants have started moving into the L&M Village today.

In response to Council’s inquiries, Director Sotomayor and Reach For Home Executive Director Margaret Sluyk reviewed the smoking policies for the L&M Village. Ms. Sluyk provided information on how the navigation center operates, the rental diversion program and how meals will be provided to the participants. Director Sotomayor provided information on the funding Governor Newsom is holding up at the state level.

Public Comment
Adina Flores commented on homelessness and the councilmembers.

Shelby Pryor commented on homelessness and the councilmembers.

Ron Edwards inquired about the beds currently offered at St. John’s and the coordination of homeless services.

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On a motion by Councilmember Hagele, seconded by Councilmember Mitchell, adopted Resolution No. 172-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH

REACH FOR HOME FOR SERVICES TO THE HOMELESS AND THOSE AT RISK OF

BECOMING HOMELESS, AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID AGREEMENT.” The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None)
On a motion by Councilmember Mitchell, seconded by Councilmember Hagele, adopted Resolution No. 173-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG APPROVING A LEASE, FUNDING AND SERVICE AGREEMENT

WITH REACH FOR HOME FOR THE L&M VILLAGE AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT; AUTHORIZING THE CITY MANAGER

TO EXECUTE ANNUAL AMENDMENTS TO THE TERMS OF SERVICE, AND AMENDING THE FISCAL YEAR 2022-23 BUDGET, requiring the annual terms of service to return to Council before the City Manager executes the agreement. The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None) On a motion by Councilmember Mitchell, seconded by Vice Mayor Kelley, adopted Resolution No. 174-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG INCREASING CONTRACT CONTINGENCY FOR THE
REHABILITATION OF THE L&M VILLAGE; AMENDING THE FISCAL YEAR 2022-23

BUDGET INCREASING APPROPRIATIONS TO THE L&M VILLAGE CAPITAL FUND

FROM THE L&M VILLAGE OPERATIONAL FUND, AND AUTHORIZING THE CITY MANAGER TO TAKE THE NECESSARY ACTIONS TO EFFECTUATE THIS ACTION.” The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None) NEW BUSINESS – ORDINANCE ADOPTED BY REFERENCE THE 2022
CALIFORNIA BUILDING STANDARDS CODE TITLE 24 WITH LOCAL

AMENDMENTS
Building Official Willoughby introduced Fire Marshal MacDonald who would both be giving the presentation this evening. Official Willoughby stated the action this evening was to introduce two ordinances adopting by reference the 2022 building and fire codes. Official Willoughby provided background information and reviewed the minor amendments to the building code. Fire Marshal MacDonald provided information on the revisions to the fire code.

Public Comment
Adina Flores commented on the building code.

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On a motion by Vice Mayor Kelley, seconded by Councilmember Mitchell, introduced for first reading, by title only, waiving further reading of the text, an ordinance adopting by reference, the 2022 California Building Standards Codes Title 24 with local amendments; and by motion set December 19, 2022 at 6:00 p.m. as the date and time of a public hearing for adoption of the Ordinance. The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None) On a motion by Mayor Jimenez, seconded by Councilmember Hagele, introduced for first reading, by title only, waiving further reading of the text, repealing Ordinance No. 1194 and adopting by reference the 2022 edition of the California Fire Code with the proposed amendments, additions and deletions; and by motion set December 19, 2022 at 6:00 p.m. as the date and time of a public hearing for adoption of the Ordinance. The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None) NEW BUSINESS – DISCUSSION AND DIRECTION REGARDING USE OF

BOLLARDS ON PATHWAYS
Transportation and Public Works Director Zimmer provided background information on the purpose of bollards on pathways, why drivers may enter a pathway, the various locations of bollards throughout Healdsburg and reviewed the current Caltrans highway standards for bollards. Director Zimmer provided staff’s recommendation for removing bollards on pathways and provided an alternative to add a flexible bollard or remove bollards all together. Director Zimmer further reviewed the cost estimate to do the work to address bollards.

In response to Council’s inquiries, Director Zimmer provided detailed information on the budget to address bollards, why staff is recommending to keep bollards on the bridge on Grove Street and vehicles entering the pathway
Public Comment
Aris Weaver, Executive Director from the Sonoma County Bicycle Coalition, expressed her support for removing bollards in ninety percent of the locations in Healdsburg.

Council Comments
Councilmember Hagele expressed his support for staff’s recommendation and removing all the bollards and leaving the center one.

Councilmember Mitchell expressed her desire to support staff’s recommendation but removing the center bollard on the bridge near Grove Street.

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Vice Mayor Kelley expressed her desire to see new bollards be a flexible bollard and was in favor of removing the center bollard on the bridge on Grove Street.

Mayor Jimenez expressed his support for moving forward with removal of the center bollard on the bridge on Grove Street.

Following a brief Council discussion, there was Council consensus to bring forward a budget amendment to address working on the bollards in the Spring of 2023.

NEW BUSINESS – PROFESSIONAL SERVICES AGREEMENT WITH HEALDSBURG

CHAMBER OF COMMERCE
Assistant City Manager Sturmfels stated the action this evening was to approve a Professional Services Agreement with the Chamber of Commerce. Manager Sturmfels provided background information on the services the Chamber provides to the City of Healdsburg, the proposed scope of work for Fiscal Year 2022-23, including community partnership and economic development, event, visitor center operations and task-based deliverables.

Tallia Hart, CEO Chamber of Commerce, reviewed the accomplishments of the Chamber during FY 2021-22, including business attraction, retention and expansion, liaison to the business community, event production, visitor center operations and digital visitor services.

Councilmember Hagele expressed a desire to see the Chamber join loopnet, conduct an annual State of the City with the Mayor, include general age range, commuting and desire to live in Healdsburg in the annual business survey, partnership in crisis management and capturing a wide net in the food truck survey.

In response to Council’s inquiries, Ms. Hart provided information on operating the visitor center, and what kind of questions the visitor center receives. Manager Sturmfels provided information on when business license automation would take place.

There were no public comments on this item.

On a motion by Councilmember Hagele, seconded by Councilmember Mitchell, adopted Resolution No. 175-2022, titled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH

THE HEALDSBURG CHAMBER OF COMMERCE, AUTHORIZING THE CITY

MANAGER TO EXECUTE THE AGREEMENT AND AMENDING THE FISCAL YEAR 2022-23 BUDGET.” The motion carried on a unanimous roll call vote. (Ayes 4, Noes 0, Absent – None)

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COUNCIL REPORTS ON MATTERS OF INTEREST OCCURRING SINCE PREVIOUS

REGULAR MEETING
Councilmember Hagele reported he attended an NCPA event in Washington D.C. last week and participated in a phone call with the U.S. Treasury.

Councilmember Mitchell reported she was mc for the pet parade for Halloween, attended the Dia de los Muertos event in the Plaza, the Russian River Watershed Association tour of the Potter Valley project, the Health Care Foundation Wetzel breakfast, participated in a Zero Waste Sonoma strategic planning session and attended the women in business discussion put on by the Chamber at Little Saint.

Vice Mayor Kelley thanked City Staff for the Dia de los Muertos event, reported she attended the pet parade event in the Plaza, Sonoma County Lions breakfast, the Health Care Foundation Wetzel breakfast, the food pantry’s square dance event on the Villa. She further and reported the North Sonoma County Air Pollution Control District reallocated some funds to address electric charging stations and that she attended the Veteran’s Day breakfast and the women in business discussion put on by the Chamber at Little Saint.

Mayor Jimenez reported he attended the pet parade event in the Plaza, Dia de los Muertos event and received an award from the Alexander Valley Film Society for community impact and commented on the shooting that took place in Colorado last week.

WRITTEN COMMUNICATIONS
None.

ADJOURNMENT
There being no other City Council/RSA business to discuss, Mayor Jimenez adjourned the City Council meeting at approximately 10:17 P.M.

APPROVED: ATTEST:
__________________________________ ___________________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk

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Attachment: November 21, 2022 Regular Meeting Minutes (4026 : Approval of Minutes - April 17, 2023)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Accept a Recycled Water Public Utility Easement at APN 110-120-004 PREPARED BY: Patrick Fuss, Water/Wastewater Engineer
STRATEGIC INITIATIVE(S):

Pursue Initiatives that Promote Environmental Stewardship Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from John Charles Bacigalupi at a portion of APN 110-120-004.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

The City of Healdsburg owns and operates a wastewater treatment facility that is permitted by the State of California under a National Pollution Discharge Elimination System (“NPDES”) permit. One of the requirements of the NPDES permit for the facility is that no discharges to the Russian River are allowed from May 15 to September 30. To achieve compliance with this NPDES requirement, in the most cost-effective manner, City staff have coordinated with agricultural operators in the vicinity to receive the tertiary treated water (recycled water) for agricultural irrigation.

In discussion with the agricultural operators, the property owners would grant easements over their lands for the construction, operation, and maintenance of the recycled water pipeline facilities in exchange for access to the recycled water for their agricultural operation.

DISCUSSION/ANALYSIS:

John Charles Bacigalupi is the “Owner” of record of real property located at APN 110-120-004.

This location will have a portion of the recycled water pipeline traverse through it in a dedicated easement.

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The recommended resolution authorizes the City Manager to accept the dedication of recycled water public utility easement over a portion of APN 110-120-004 and directs staff to file the easement for recordation with the Sonoma County Recorder’s Office. The resolution has been approved as to form by the City Attorney.

ENVIRONMENTAL STEWARDSHIP:

Recycled water for irrigation helps the environment by allowing natural groundwater to remain in the ground, rather than be removed and potentially be depleted.

ALTERNATIVES:

Council could choose not to accept the easement. The recycled water pipeline facility was constructed under a right of entry agreement that indicated that the easement would be defined and dedicated to the City following construction of the pipeline, construction of which is completed. If the easement is not accepted and recorded the facilities and easements rights may not be identified on title searches or parcel maps. Staff recommends accepting the easement such that the land use and rights are properly recorded and noticed.

FISCAL IMPACT:

Accepting the dedication of easement for recycled water will not create additional fiscal responsibility on the City.

ENVIRONMENTAL ANALYSIS:

The acceptance of a public utility easement is not subject to the provisions of the California Environmental Quality Act (CEQA) because the acceptance is not a project since it is not a discretionary action by a governmental agency and will not have a direct or reasonably foreseeable indirect impact on the environment.

ATTACHMENT(S):

Resolution
Exhibits A & B Bacigalupi APN 110-120-004

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CITY OF HEALDSBURG
RESOLUTION NO. -2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG ACCEPTING A DEDICATION OF A

RECYCLED WATER PUBLIC UTILITY EASEMENT

FROM JOHN CHARLES BACIGALUPI AT A PORTION
OF APN 110-120-004
WHEREAS, John Charles Bacigalupi, record owner (hereafter “Owner”) of real property at APN 110-120-004, in unincorporated Sonoma County near Healdsburg, California, has agreed to the construction of a portion of the City’s recycled water system on the Owner’s property; and WHEREAS, Owner has dedicated a portion of land by separate instrument for a recycled water public utility easement.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby accepts the dedication of recycled water public utility easement from John Charles Bacigalupi at a portion of APN 110-120-004, unincorporated Sonoma County near Healdsburg, California, as described in Exhibit “A” and shown on Exhibit “B”, both of which are attached hereto and made a part hereof.

BE IT FURTHER RESOLVED that the City Council hereby authorizes the City Manager to certify said acceptance and directs staff to file the Recycled Water Public Utility Easement with the Sonoma County Recorder’s Office for recordation.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 17 th
day of April 2023, by the following vote:

AYES: Council members: ( )
NOES: Council members: ( )
ABSENT: Council members: ( )
ABSTAINING: Council members: ( )
SO ORDERED: ATTEST:
_________________________________ ___________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Attachment: Resolution (4008 : Recycled Water Easement Bacigalupi) 1360 North Dutton Avenue, Suite 150, Santa Rosa, CA 95401 Tel: (707) 542-6268 Fax: (707) 542-2106
www.cinquinipassarino.com
CPI No.: 7342-16

Page 1 of 3 ends

Exhibit ‘A’
Recycled Waterline Easement
The following described easement is situated within the Sotoyome Rancho, County of Sonoma, State of California.

Being that portion of Parcel Two of the lands of John Charles Bacigalupi described by Grant Deed recorded under Document Number 2011-113857, Sonoma County Records, described as follows:

An easement, 15.00 feet in width, lying 7.50 feet on each side of the following described centerline:

COMMENCING at a 1/2-inch rebar with 2-1/2-inch aluminum cap stamped “LS 2798” designated as number 31 on that certain Record of Survey filed in Book 395 of Maps, Page 36, Sonoma County Records, from which a 3/4-inch iron pipe shown lying on the westerly line of Parcel 27 of the lands of Syar Industries, Inc., described by Corporation Grant Deed recorded under Document Number 1986- 014193, Sonoma County Records, bears North 24°37’58” West (calculated as North 24°39’26” West per said map) 586.36 feet; thence South 02°03’33” West 34.12 feet to the southwest corner of said Parcel 27, being also the northwest corner of Parcel 28 of said lands of Syar Industries, Inc., as shown on said map; thence along the westerly line of said Parcel 28, South 23°12’34” East 3.48 feet to the POINT OF BEGINNING of the easement centerline described herein; thence South 75°30’17” West 23.19 feet; thence North 88°02’28” West 653.03 feet; thence South 77°28’29” West 176.56 feet; thence North 85°36’06” West 256.87 feet; thence North 89°31’32” West 1996.16 feet to a point from which a 3/8-inch iron pipe shown on that certain Record of Survey filed in Book 723 of Maps, Pages 30 and 31, and lying on the easterly line of the lands of the J. & T. Bucher Family Trust, described by Grant Deed recorded under Document Number 2016-117591, Sonoma County Records, bears South 50°35’10” West 312.96 feet; thence South 73°50’09” West to the easterly right-of-way line of Westside Road and the TERMINUS POINT of the easement centerline described herein.

Excepting therefrom any portion lying over the lands of G3 Enterprises, Inc., described by Grant Deed recorded under Document Number 2007-024926, Sonoma County Records.

The sidelines of said easement shall be lengthened or shortened to terminate at the boundaries of said lands of Bacigalupi.

END OF DESCRIPTION
Containing 3,800 square feet, more or less
Being a portion of APN 110-120-004
The Basis of Bearings for this legal description is the California Coordinate System of 1983, Zone 2, Epoch 2011.00.

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Attachment: Exhibits A & B Bacigalupi APN 110-120-004 (4008 : Recycled Water Easement Bacigalupi) 1360 North Dutton Avenue, Suite 150, Santa Rosa, CA 95401 Tel: (707) 542-6268 Fax: (707) 542-2106
www.cinquinipassarino.com
CPI No.: 7342-16

Page 2 of 3 ends

Prepared by Cinquini & Passarino, Inc.
_______________________________ _____________________
Derek J. Clark, P.L.S. 9672 Date
9-9-2022

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Attachment: Exhibits A & B Bacigalupi APN 110-120-004 (4008 : Recycled Water Easement Bacigalupi) Copyright © Cinquini & Passarino, Inc 2022

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Attachment: Exhibits A & B Bacigalupi APN 110-120-004 (4008 : Recycled Water Easement Bacigalupi)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Accept a Recycled Water Public Utility Easement at APN 110-130-022 PREPARED BY: Patrick Fuss, Water/Wastewater Engineer
STRATEGIC INITIATIVE(S):

Pursue Initiatives that Promote Environmental Stewardship Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from the 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable trust at a portion of APN 110-130-022.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

The City of Healdsburg owns and operates a wastewater treatment facility that is permitted by the State of California under a National Pollution Discharge Elimination System (NPDES) permit. One of the requirements of the NPDES permit for the facility is that no discharges to the Russian River are allowed from May 15 to September 30. To achieve compliance with this NPDES requirement in the most cost-effective manner, City staff have coordinated with agricultural operators in the vicinity to receive the tertiary treated water (recycled water) for agricultural irrigation.

In discussion with the agricultural operators, the property owners would grant easements for the construction, operation, and maintenance of the recycled water pipeline facilities in exchange for access to the recycled water for their agricultural operation.

DISCUSSION/ANALYSIS:

The 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable Trust Under Instrument dated February 18, 1999 is the “Owner” of record of real property located at APN 110-130-022. This location will have a portion of the recycled water pipeline traverse through it in a dedicated easement.

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The recommended resolution authorizes the City Manager to accept the dedication of recycled water public utility easement over a portion of APN 110-130-022 and directs staff to file the easement for recordation with the Sonoma County Recorder’s Office. The resolution has been approved as to form by the City Attorney.

ENVIRONMENTAL STEWARDSHIP:

Recycled water for irrigation helps the environment by allowing natural groundwater to remain in the ground, rather than be removed and potentially be depleted.

ALTERNATIVES:

FISCAL IMPACT:

Accepting the dedication of easement for recycled water will not create additional fiscal responsibility on the City.

ENVIRONMENTAL ANALYSIS:

ATTACHMENT(S):

Resolution
Exhibits A&B 9844-De La Montanya_APN 110-130-022

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CITY OF HEALDSBURG
RESOLUTION NO. -2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG ACCEPTING A DEDICATION OF A

RECYCLED WATER PUBLIC UTILITY EASEMENT
FROM THE 1999 DENNIS DE LA MONTANYA AND
TINA S. DE LA MONTANYA REVOCABLE TRUST AT A
PORTION OF APN 110-130-022
WHEREAS, the 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable Trust Under Instrument dated February 18, 1999, record owner (hereafter “Owner”) of real property at APN 110-130-022, in unincorporated Sonoma County near Healdsburg, California, have agreed to the construction of a portion of the City’s recycled water system on the Owner’s property; and
WHEREAS, Owner has dedicated a portion of land by separate instrument for a recycled water public utility easement.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby accepts the dedication of recycled water public utility easement from The 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable Trust Under Instrument dated February 18, 1999 at a portion of APN 110-130-022, unincorporated Sonoma County near Healdsburg, California, as described in Exhibit “A” and shown on Exhibit “B”, both of which are attached hereto and made a part hereof.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 17 th
day of April 2023, by the following vote:

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Attachment: Resolution (4009 : Recycled Water Easement Delamontanya) 1360 North Dutton Avenue, Suite 150, Santa Rosa, CA 95401 Tel: (707) 542-6268 Fax: (707) 542-2106
www.cinquinipassarino.com
CPI No.: 7342-16

Page 1 of 2 ends

Exhibit “A”
Recycled Waterline Easement
Lying within the Sotoyome Rancho, County of Sonoma, State of California and being an easement over a portion of the lands of Dennis De La Montanya and Tina S. De La Montanya, Trustees of The 1999 Dennis De La Montanya and Tina S. De La Montanya Revocable Trust Under Instrument dated February 18, 1999, as described by Grant Deed recorded under Document Number 2013-049928, Sonoma County Records, said lands also being shown on that Record of Survey filed in Book 645 of Maps, Page 47, Sonoma County Records, said easement is more particularly described as follows:

Beginning at the northeast corner of said lands of De La Montanya; thence along the easterly boundary of said lands of De La Montanya, South 00°36’58” East 15.03 feet; thence leaving said easterly boundary, South 89°23’02” West 15.81 feet; thence North 00°36’58” West 12.81 feet to the northerly boundary of said lands of De La Montanya; thence along said northerly boundary, North 81°23’22 East 15.97 feet to the Point of Beginning.

Containing 220 square feet more or less.

Being a portion of APN 110-130-022
The Basis of Bearings for the legal description herein is based upon California Coordinate System of 1983, Zone 2, Epoch 2011.00.

Prepared by Cinquini & Passarino, Inc.
_______________________________ _____________________
Mathew D. Dudley, P.L.S. 9396 Date

9/9/2022

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Attachment: Exhibits A&B 9844-De La Montanya_APN 110-130-022 (4009 : Recycled Water Easement Delamontanya) Copyright © Cinquini & Passarino, Inc 2022 Copyright © Cinquini & Passarino, Inc 2022

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Attachment: Exhibits A&B 9844-De La Montanya_APN 110-130-022 (4009 : Recycled Water Easement Delamontanya)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Accept a Recycled Water Public Utility Easement at APN 110-120-007 PREPARED BY: Patrick Fuss, Water/Wastewater Engineer
STRATEGIC INITIATIVE(S):

Pursue Initiatives that Promote Environmental Stewardship Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Adopt a Resolution accepting a dedication of a Recycled Water Public Utility Easement from G3 Enterprises, Inc. at a portion of APN 110-120-007.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

The City of Healdsburg owns and operates a wastewater treatment facility that is permitted by the State of California under a National Pollution Discharge Elimination System (NPDES) permit. One of the requirements of the NPDES permit for the facility is that no discharges to the Russian River are allowed from May 15 to September 30. To achieve compliance with this NPDES requirement, in the most cost-effective manner, City staff have coordinated with agricultural operators in the vicinity to receive the tertiary treated water (recycled water) for agricultural irrigation.

DISCUSSION/ANALYSIS:

G3 Enterprises, Inc. is the “Owner” of record of real property located at APN 110-120-007. This location will have a portion of the recycled water pipeline traverse through it in a dedicated easement.

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The recommended resolution authorizes the City Manager to accept the dedication of recycled water public utility easement over a portion of APN 110-120-007 and directs staff to file the easement for recordation with the Sonoma County Recorder’s Office. The resolution has been approved as to form by the City Attorney.

ENVIRONMENTAL STEWARDSHIP:

Recycled water for irrigation helps the environment by allowing natural groundwater to remain in the ground, rather than be removed and potentially be depleted.

ALTERNATIVES:

FISCAL IMPACT:

Accepting the dedication of easement for recycled water will not create additional fiscal responsibility on the City.

ENVIRONMENTAL ANALYSIS:

ATTACHMENT(S):

Resolution
Exhibits A & B G3 Enterprises APN 110-120-007

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CITY OF HEALDSBURG
RESOLUTION NO. -2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEALDSBURG ACCEPTING A DEDICATION OF A

RECYCLED WATER PUBLIC UTILITY EASEMENT
FROM G3 ENTERPRISES AT A PORTION OF APN 110-
120-007
WHEREAS, G3 Enterprises Inc., record owner (hereafter “Owner”) of real property at APN 110-120-007, in unincorporated Sonoma County near Healdsburg, California, has agreed to the construction of a portion of the City’s recycled water system on the Owner’s property; and WHEREAS, Owner has dedicated a portion of land by separate instrument for a recycled water public utility easement.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby accepts the dedication of recycled water public utility easement from G 3 Enterprises, Inc. at a portion of APN 110-120-007, unincorporated Sonoma County near Healdsburg, California, as described in Exhibit “A” and shown on Exhibit “B”, both of which are attached hereto and made a part hereof.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 17 th
day of April 2023, by the following vote:

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Attachment: Resolution (4011 : Recycled Water Easement G3 Enterprises) 1360 North Dutton Avenue, Suite 150, Santa Rosa, CA 95401 Tel: (707) 542-6268 Fax: (707) 542-2106
www.cinquinipassarino.com
CPI No.: 7342-16

Page 1 of 3 ends

Exhibit ‘A’
Recycled Waterline Easement
The following described easement is situated within the Sotoyome Rancho, County of Sonoma, State of California.

Being that portion of Parcel Two of the lands of G3 Enterprises, Inc., described by Grant Deed recorded under Document Number 2007-024926, Sonoma County Records, described as follows:

An easement, 15.00 feet in width, lying 7.50 feet on each side of the following described centerline:

Excepting therefrom any portion lying over the lands of John Charles Bacigalupi described by Grant Deed recorded under Document Number 2011-113857, Sonoma County Records.

The sidelines of said easement shall be lengthened or shortened to terminate at the boundaries of said lands of G3 Enterprises, Inc.

END OF DESCRIPTION
Containing 45,700 square feet, more or less
Being a portion of APN 110-120-007
The Basis of Bearings for this legal description is the California Coordinate System of 1983, Zone 2, Epoch 2011.00.

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Attachment: Exhibits A & B G3 Enterprises APN 110-120-007 (4011 : Recycled Water Easement G3 Enterprises) 1360 North Dutton Avenue, Suite 150, Santa Rosa, CA 95401 Tel: (707) 542-6268 Fax: (707) 542-2106
www.cinquinipassarino.com
CPI No.: 7342-16

Page 2 of 3 ends

Prepared by Cinquini & Passarino, Inc.
_______________________________ _____________________
Derek J. Clark, P.L.S. 9672 Date
9-9-2022

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Attachment: Exhibits A & B G3 Enterprises APN 110-120-007 (4011 : Recycled Water Easement G3 Enterprises) Copyright © Cinquini & Passarino, Inc 2022

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Attachment: Exhibits A & B G3 Enterprises APN 110-120-007 (4011 : Recycled Water Easement G3 Enterprises)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: 2023-2025 Biosolids Hauling and Disposing Contract PREPARED BY: Patrick Fuss, Water/Wastewater Engineer
STRATEGIC INITIATIVE(S):

Pursue Initiatives that Promote Environmental Stewardship Maintain and Improve Infrastructure and Facilities
Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):

Adopt a Resolution awarding Recology, Inc. the contract to haul and dispose of biosolids and authorizing the City Manager to execute a contract for a term of two years at $205,403 per year, for the not to exceed amount of $410,806.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

The City of Healdsburg owns and operates the Water Reclamation Facility (WRF) to treat the City’s wastewater. The WRF uses a biological process to remove pollutants from the sewage by feeding the sewage to bacteria in addition to other filtration processes. During the biologic process, the bacteria biomass combines with the solids increasing mass and periodically a portion of the bacteria biomass needs to be removed. The removed bacteria biomass is referred to as “biosolids”. Once the biosolids are removed from the process, they are dewatered to recover as much water from the biosolids as possible, then the dewatered biosolids are hauled away and disposed of properly.

Prior to November 2020, the City’s solid waste franchise agreement included the cost to haul and dispose of the biosolids at no direct charge to the City’s wastewater customers. However, it was determined that this practice lacks transparency for identifying the full cost of wastewater treatment, and that the wastewater rates should include the cost of biosolids hauling and disposing. Under the new solid waste franchise agreement, the wastewater enterprise fund is required to directly pay for biosolids hauling and disposing.

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In 2021, staff bid the hauling and disposing of biosolids to get the lowest, competitive price for this service. The contract was let for a two-year term. The existing hauling and disposing contract will expire on April 21, 2023. In advance of the contract expiration, staff have again advertised for bids requesting hauling and disposal services.

DISCUSSION/ANALYSIS:

The City sought competitive bids for hauling and properly disposing of biosolids. A request for proposals was advertised, and bidders were asked to respond with the lowest cost for hauling and disposing. Hauling was limited to 40-foot end dump trailers. The final destination was left for the bidders to determine with the requirement that the receiving facility be licensed to receive biosolids of the character produced by the City. Disposing was limited to 40 to 60 tons per week, twenty tons per trip. Disposal was to be determined by the bidder to achieve the lowest cost for the anticipated one hundred haul trips per year.

The bidding period began on February 23, 2023, and bids were opened on March 23, 2023. Two bids were received. The lowest bid was offered by Recology, Inc. for an estimated annual cost of $205,403 per year. The second bid was offered at an estimated annual cost of $315,300 per year.

The term of the agreement of biosolids hauling and disposing is anticipated to be two years, after that period the contract will be rebid. The total cost to the City for the two-year contract with the lowest bidder is estimated to not exceed $410,806.

The lowest bid price disposes biosolids at a landfill. Various regulatory requirements are changing how organics, such as biosolids, are disposed. Staff anticipates that some or all of the biosolids may need to be diverted from landfill disposal within the two-year contract period. The extent of biosolids that may need to be redirected from landfill and the duration of this process are currently undefined. Staff will approach City Council if the disposal approach changes as a result of regulation requirements to both amend the contract and increase the not to exceed price.

ENVIRONMENTAL STEWARDSHIP:

The bid documents limit the bidders to only take biosolids to facilities that are licensed to receive this material. These locations can include beneficial reuse for agricultural soil amendments, as well as sanitary landfill disposal. The bidders were not limited to any particular location for disposal to allow the lowest pricing.

Recent modifications to the biosolids hauling and disposal at the WRF eliminated the use of smaller bins that required several truck trips per week by installing facilities that allow a larger 40-foot trailer and only two-trips per week. This reduces truck traffic and the potential environmental impacts associated with the higher vehicle miles travelled (VMT).

ALTERNATIVES:

The City Council could decline to award the biosolids hauling and disposing contract to Recology Inc. Should the City Council elect not to award the contract, staff requests additional direction on how to proceed with the biosolids hauling and disposing.

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FISCAL IMPACT:

The operations budget for the Wastewater Fund anticipates $250,000 per year for biosolids hauling and disposing. The recommended bidder is $205,504 per year and is within the anticipated cost for this service. No additional budget appropriations are required at this time.

If in the future disposal requires some portion or all of the biosolids to be treated and composted, the estimated annual cost of disposal is expected to increase by $126,000 for a 50/50 landfill and composting option. Should the regulatory requirements obligate the City to compost all of the biosolids, the estimated annual increase is $216,000. If a change in the biosolids hauling and disposal contract becomes necessary, staff will present updated requirements and costs for City Council consideration. Due to restricted wastewater revenues and approved budget limits, increased costs for composting will require a budget amendment and may require other operating costs to be deferred or eliminated.

ENVIRONMENTAL ANALYSIS:

Biosolids hauling and disposing was evaluated in the 2005 environmental impact report prepared for the WRF, which found impacts for this process to be less than significant. The recommended action continues the operation of the existing facility, including removal and disposal of biosolids, and is exempt from the provision of the California Environmental Quality Act pursuant to CEQA Guidelines Section 15301 exemption for operation of existing facilities with no increase in its use.

ATTACHMENT(S):

Resolution

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CITY OF HEALDSBURG
RESOLUTION XX-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG AWARDING RECOLOGY, INC. THE

CONTRACT TO HAUL AND DISPOSE BIOSOLIDS AND

AUTHORIZING THE CITY MANAGER TO EXECUTE A
CONTRACT FOR A TERM OF TWO YEARS AT $205,403 PER
YEAR, FOR THE NOT TO EXCEED AMOUNT OF $410,806
WHEREAS, the City of Healdsburg (“City”) owns and operates a wastewater treatment plant to provide tertiary treatment to the City’s sanitary sewage; and WHEREAS, the wastewater treatment process produces a waste biomass (biosolids) that must be dewatered and properly disposed of; and
WHEREAS, the City has competitively bid the hauling and disposing of biosolids to allow to provide the most cost-efficient approach for this service while maintaining transparency to the rate payers; and
WHEREAS, bids for biosolids hauling and disposing were advertised from February 23 to March 23, 2023; and
WHEREAS, the lowest responsive bid was offered by Recology, Inc. for an amount of $2,054.03 per haul/disposal trip for an estimated 100 trips per year for an estimated annual cost of $205,403.00 per year; and
WHEREAS, the term of the agreement is two years; and
WHEREAS, the hauling and disposing of biosolids was evaluated in the 2005 environmental impact report prepared for the WRF, which found impacts for this process to be less than significant; and
WHEREAS, the hauling of biosolids from the existing Water Reclamation Facility is part of the operation of the existing wastewater treatment facility and is exempt from the provisions of the California Environmental Quality Act pursuant to Guidelines Section 15302, the exemption for operation of existing facilities with no increase of an existing use.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby:

1. Determines that hauling and disposing of biosolids from the existing Water Reclamation Facility is exempt for the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15302 exemption for existing facilities because

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Attachment: Resolution (4007 : 2023-2025 Biosolids Hauling and Disposal) Resolution No. -2023

Page 2 ends

hauling and disposing of biosolids consists of the operation of existing facilities involving negligible or no expansion of existing or former use.

2. Awards the contract to haul and dispose of biosolids to Recology Inc.

3. Authorizes the City Manager to execute a contract for a term of two years at $205,403 per year, for the not to exceed amount of $410,806.

PASSED, APPROVED AND ADOPTED this 17th day of April, 2023 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:
__________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Attachment: Resolution (4007 : 2023-2025 Biosolids Hauling and Disposal)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Healdsburg Avenue Complete Streets Improvements PREPARED BY: Kelly Casey, Administrative Specialist
STRATEGIC INITIATIVE(S):

Maintain and Improve Infrastructure and Facilities
Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):

Adopt a Resolution authorizing the filing of an application for funding assigned to the Metropolitan Transportation Commission and committing any necessary matching funds and stating assurance to complete the project.

COMMUNITY ENGAGEMENT/OUTREACH:

The City implemented an extensive community engagement process prior in advance of the grant application. Multiple workshops were held include Spanish translation along with surveys and other public meetings to solicit input on how best to use the excessive right of way to improve this vital corridor. Based on the community’s input, planned Healdsburg Avenue improvements will feature numerous “complete street”/multi-modal elements including protected bike lanes, adding crosswalks, adding a new signalized intersection, crosswalk bulb out, additional transit stops, and street trees to provide shading for cyclists and pedestrians.

BACKGROUND:

Healdsburg Avenue is Healdsburg’s primary north/south arterial connecting residential areas with shopping centers, places of employment, recreational and commercial areas, public facilities, and the downtown Plaza. Serving as US Highway 101 until the 1960’s when the Healdsburg bypass was constructed, the portion of Healdsburg Avenue from Powell Avenue to the northern City limit predominately caters to vehicle users and lack the features that benefit and enhance other modes of travel. The project area cross-section currently consists of five lanes (two lanes in each direction plus a two-way left turn lane) allowing for high-speed traffic.

Sidewalks are discontinuous, paved shoulders are narrow and lack bicycle lanes, and crosswalks are long, few and far between, further discouraging walking and bicycling.

The City conducted the Healdsburg Avenue Improvement Study, which led to the creation of a

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concept plan adopted by City Council in February 2020. The Study’s scope of work included an extensive public outreach process providing valuable input from stakeholder groups and individual citizens. The resulting concept plan featured a road diet (one lane in each direction with center left turn lane), Class IV separated bikeways, turnouts for transit, widened sidewalks, tree-lined landscaped buffer strips, intersection bulb-outs, and safety enhanced crosswalks. The proposed Class IV bikeways will be designed to allow for vehicular access in the event of an emergency. The project also includes modifications to existing signalized intersections, one new signalized intersection, a traffic signal interconnect, and four pedestrian activated rectangular rapid flashing beacons. Low impact development (LID) features are planned within landscaped buffers to treat storm water runoff.

The Active Transportation Program (ATP) Cycle 6 grant is a competitive federally funded grant program which supports the goals of MTC’s long-range Regional Transportation Plan. A wide range of projects are eligible for the Active Transportation Program (ATP) Cycle 6 funding, addressing categories such as equity, safety, housing, and sustainability. City staff filed an Active Transportation Program (ATP) Cycle 6 application for $11,819,000 for construction funds for the Healdsburg Avenue Complete Streets Improvements. The ATP funds were approved by the California Transportation Commission in March.

DISCUSSION/ANALYSIS:

MTC has adopted a Regional Project Delivery Policy (MTC Resolution No. 3606) that sets out procedures governing the application and use of regional discretionary funding and, as part of the application process, requires a resolution of local support adopted by the City. Staff recommends the City Council adopt the required resolution, approving and authorizing the City Manager or designee to submit an Active Transportation Program (ATP) Cycle 6 application for the Healdsburg Avenue Complete Streets Improvements. The attached Resolution provides the findings as required by MTC for the request of regional discretionary funds. The resolution further commits the City to required matching funds and to deliver the project.

ENVIRONMENTAL STEWARDSHIP:

The proposed action will have no environmental impact. If funded and constructed, Healdsburg Avenue Complete Streets Improvements will support a reduction in vehicle miles traveled, dependence on single-occupancy vehicle trips, and a reduction of vehicle speeds, all of which serve to lower harmful greenhouse gas emissions.

ALTERNATIVES:

The City Council could choose not to adopt the resolution and would thereby rescind the Active Transportation Program (ATP) Cycle 6 application for the Healdsburg Avenue Complete Streets Improvements. In the event the application is withdrawn, and the project is still desired at a future date, staff would need to identify other sources of funding to construct the project.

FISCAL IMPACT:

The City will receive $11,819,000 from the Active Transportation Program (ATP) Cycle 6 grant from the MTC. The grant application outlined a total project cost of $14,774,000 with additional funding sources including $600,000 of One Bay Area Grant (OBAG) federal funds, $37,000 of earmarked federal funds as well as $2,318,000 of City leveraged funds. The City leveraged funds

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include approximately $220,000 of expenses previously incurred in developing the Healdsburg Avenue Improvement Study as well as $400,000 of American Rescue Plan Act (ARPA) funding included in the adopted Fiscal Year 2022-2023 budget to begin design work. The remaining anticipated City contribution of $1,698,000 will be appropriated with the next budget cycle to accommodate funding the construction portion of the project. The adopted Five-Year Capital Improvement program identified Measure V as a potential source for the additional contributions in Fiscal Year 2025-26. The City will be responsible for providing any additional funding required to complete the project. While staff note recent construction projects have come in significantly over initial budgets due to inflationary impacts on the construction industry and supply chain, the design process kicking off this year provides an opportunity to proactively mitigate needs for additional funding.

ENVIRONMENTAL ANALYSIS:

Approving a request for funding could potentially be considered a “project” under the California Environmental Quality Act (“CEQA”) because applying for funding could foreseeably lead to the development of the street improvements for which the funds are to be used. However, CEQA review is required only after there is enough information about a proposed project to meaningfully evaluate its environmental impacts. Here, the City could make significant changes to the project after the request for funding but before the proposal is finalized, so there is not yet enough definite information about the project to require CEQA review at this stage. Future construction projects using ATP funds (if approved) will be subject to environmental review at a future date.

ATTACHMENT(S):

Resolution

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CITY OF HEALDSBURG
RESOLUTION NO. __-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG AUTHORIZING THE FILING OF AN

APPLICATION FOR FUNDING ASSIGNED TO THE

METROPOLITAN TRANSPORTATION COMMISSION AND

COMMITTING ANY NECESSARY MATCHING FUNDS AND

STATING ASSURANCE TO COMPLETE THE PROJECT
WHEREAS, the City of Healdsburg (herein referred to as APPLICANT) is submitting an application to the Metropolitan Transportation Commission (MTC) for $11,819,000 in funding assigned to MTC for programming discretion, which includes federal funding administered by the Federal Highway Administration (FHWA) and federal or state funding administered by the California Transportation Commission (CTC) such as Surface Transportation Block Grant Program (STP) funding, Congestion Mitigation and Air Quality Improvement Program (CMAQ) funding, Transportation Alternatives (TA) set-aside/Active Transportation Program (ATP) funding, and Regional Transportation Improvement Program (RTIP) funding (herein collectively referred to as REGIONAL DISCRETIONARY FUNDING) for the Healdsburg Avenue Complete Streets Improvements (herein referred to as PROJECT) for the Active Transportation Program (ATP) Cycle 6 Program (herein referred to as PROGRAM); and WHEREAS, the United States Congress from time to time enacts and amends legislation to provide funding for various transportation needs and programs, (collectively, the FEDERAL TRANSPORTATION ACT) including, but not limited to the Surface Transportation Block Grant Program (STP) (23 U.S.C. § 133), the Congestion Mitigation and Air Quality Improvement Program (CMAQ) (23 U.S.C. § 149) and the Transportation Alternatives (TA) set-aside (23 U.S.C. § 133); and
WHEREAS, state statutes, including California Streets and Highways Code §182.6, §182.7, and §2381(a)(1), and California Government Code §14527, provide various funding programs for the programming discretion of the Metropolitan Planning Organization (MPO) and the Regional Transportation Planning Agency (RTPA); and WHEREAS, pursuant to the FEDERAL TRANSPORTATION ACT, and any regulations promulgated thereunder, eligible project sponsors wishing to receive federal or state funds for a regionally-significant project shall submit an application first with the appropriate MPO, or RTPA, as applicable, for review and inclusion in the federal Transportation Improvement Program (TIP); and
WHEREAS, MTC is the MPO and RTPA for the nine counties of the San Francisco Bay region; and

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WHEREAS, MTC has adopted a Regional Project Funding Delivery Policy (MTC Resolution No. 3606, revised) that sets out procedures governing the application and use of REGIONAL DISCRETIONARY FUNDING; and
WHEREAS, APPLICANT is an eligible sponsor for REGIONAL DISCRETIONARY FUNDING; and
WHEREAS, as part of the application for REGIONAL DISCRETIONARY FUNDING, MTC requires a resolution adopted by the responsible implementing agency stating the following:
• the commitment of any required matching funds; and
• that the sponsor understands that the REGIONAL DISCRETIONARY FUNDING is fixed at the programmed amount, and therefore any cost increase cannot be expected to be funded with additional REGIONAL DISCRETIONARY FUNDING; and • that the PROJECT will comply with the procedures, delivery milestones and funding deadlines specified in the Regional Project Funding Delivery Policy (MTC Resolution No. 3606, revised); and
• the assurance of the sponsor to complete the PROJECT as described in the application, subject to environmental clearance, and if approved, as included in MTC's federal Transportation Improvement Program (TIP); and
• that the PROJECT will have adequate staffing resources to deliver and complete the PROJECT within the schedule submitted with the project application; and • that the PROJECT will comply with all project-specific requirements as set forth in the PROGRAM; and
• that APPLICANT has assigned, and will maintain a single point of contact for all FHWA- and CTC-funded transportation projects to coordinate within the agency and with the respective Congestion Management Agency (CMA), MTC, Caltrans, FHWA, and CTC on all communications, inquires or issues that may arise during the federal programming and delivery process for all FHWA- and CTC-funded transportation and transit projects implemented by APPLICANT; and
• in the case of a transit project, the PROJECT will comply with MTC Resolution No. 3866, revised, which sets forth the requirements of MTC’s Transit Coordination Implementation Plan to more efficiently deliver transit projects in the region; and • in the case of a highway project, the PROJECT will comply with MTC Resolution No. 4104, which sets forth MTC’s Traffic Operations System (TOS) Policy to install and activate TOS elements on new major freeway projects; and • in the case of an RTIP project, state law requires PROJECT be included in a local congestion management plan, or be consistent with the capital improvement program adopted pursuant to MTC’s funding agreement with the countywide transportation agency; and
WHEREAS, that APPLICANT is authorized to submit an application for REGIONAL DISCRETIONARY FUNDING for the PROJECT; and

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WHEREAS, there is no legal impediment to APPLICANT making applications for the funds; and
WHEREAS, there is no pending or threatened litigation that might in any way adversely affect the proposed PROJECT, or the ability of APPLICANT to deliver such PROJECT; and WHEREAS, APPLICANT authorizes its Executive Director, General Manager, or designee to execute and file an application with MTC for REGIONAL DISCRETIONARY FUNDING for the PROJECT as referenced in this resolution; and WHEREAS, MTC requires that a copy of this resolution be transmitted to the MTC in conjunction with the filing of the application.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby declares:
1) that the APPLICANT is authorized to execute and file an application for funding for the PROJECT for REGIONAL DISCRETIONARY FUNDING under the FEDERAL TRANSPORTATION ACT or continued funding;
2) that APPLICANT will provide any required matching funds; 3) that APPLICANT understands that the REGIONAL DISCRETIONARY FUNDING for the project is fixed at the MTC approved programmed amount, and that any cost increases must be funded by the APPLICANT from other funds, and that APPLICANT does not expect any cost increases to be funded with additional REGIONAL DISCRETIONARY FUNDING;
4) that APPLICANT understands the funding deadlines associated with these funds and will comply with the provisions and requirements of the Regional Project Funding Delivery Policy (MTC Resolution No. 3606, revised) and APPLICANT has, and will retain the expertise, knowledge and resources necessary to deliver federally-funded transportation and transit projects, and has assigned, and will maintain a single point of contact for all FHWA- and CTC-funded transportation projects to coordinate within the agency and with the respective Congestion Management Agency (CMA), MTC, Caltrans, FHWA, and CTC on all communications, inquires or issues that may arise during the federal programming and delivery process for all FHWA- and CTC-funded transportation and transit projects implemented by APPLICANT; 5) that PROJECT will be implemented as described in the complete application and in this resolution, subject to environmental clearance, and, if approved, for the amount approved by MTC and programmed in the federal TIP;

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6) that APPLICANT has reviewed the PROJECT and has adequate staffing resources to deliver and complete the PROJECT within the schedule submitted with the project application;
7) that PROJECT will comply with the requirements as set forth in MTC programming guidelines and project selection procedures for the PROGRAM; 8) that, in the case of a transit project, APPLICANT agrees to comply with the requirements of MTC’s Transit Coordination Implementation Plan as set forth in MTC Resolution No. 3866, revised;
9) that, in the case of a highway project, APPLICANT agrees to comply with the requirements of MTC’s Traffic Operations System (TOS) Policy as set forth in MTC Resolution No. 4104;
10) that, in the case of an RTIP project, PROJECT is included in a local congestion management plan, or is consistent with the capital improvement program adopted pursuant to MTC’s funding agreement with the countywide transportation agency; 11) that APPLICANT is an eligible sponsor of REGIONAL DISCRETIONARY FUNDING funded projects;
12) that APPLICANT is authorized to submit an application for REGIONAL DISCRETIONARY FUNDING for the PROJECT;
13) that there is no legal impediment to APPLICANT making applications for the funds; 14) that there is no pending or threatened litigation that might in any way adversely affect the proposed PROJECT, or the ability of APPLICANT to deliver such PROJECT; 15) that APPLICANT authorizes its Executive Director, General Manager, City Manager, or designee to execute and file an application with MTC for REGIONAL DISCRETIONARY FUNDING for the PROJECT as referenced in this resolution; 16) that a copy of this resolution will be transmitted to the MTC in conjunction with the filing of the application; and
17) that the MTC is requested to support the application for the PROJECT described in the resolution, and if approved, to include the PROJECT in MTC's federal TIP upon submittal by the project sponsor for TIP programming.

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PASSED, APPROVED AND ADOPTED, this 17th day of April 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:

Ariel Kelley, Mayor Raina Allan, City Clerk

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Attachment: Resolution (4010 : Healdsburg Avenue Complete Streets Improvements Active Transportation Program (ATP) Cycle 6 Applicat)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: 2023 Annual Water Supply Update as required by the 2020 Urban Water Management Plan
PREPARED BY: Terry Crowley, Utilities Director
STRATEGIC INITIATIVE(S):

Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Receive a report regarding the status of the City's water supply and forecasted water demands through June 2025.

COMMUNITY ENGAGEMENT/OUTREACH:

No community engagement was sought for this item.

BACKGROUND:

The 2020 Urban Water Management Plans (UWMP) the Department of Water Resources (DWR) requires all water suppliers to provide an annual water supply and demand update. Included in the annual update is the current year’s forecasted water supply and customer demands along with an assumption that the following year will meet the single-dry conditions as described in the UWMP. This information can help communities prepare for water shortages and plan to implement portions of their water supply contingency plans.

Healdsburg’s water supply and demand vary with seasonal changes. During the winter months water usage is low and water supplies tend to be high. During the summer months, Healdsburg’s water usage roughly doubles while water supplies are at the most restricted levels. This pattern of high summer demand and restricted summer water supplies may create seasonal imbalances between water demands and available water supplies.

DISCUSSION/ANALYSIS:

With historic rain fall within our region and across much of the State, water supplies, and water storage have significantly recovered following three years of intense drought conditions. While rains and storage levels have improved, there remains a need to be mindful of water use and what future water years may bring.

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The chart below shows Healdsburg’s average water demands and forecasted demands for the calendar year 2023. The average water demands are based upon metered usage during calendar years 2017, 2018, and 2019 (pre-COVID years that are consider “normal” for customer usage).

The average water usage of 2017, 2018 and 2019 has been reduced by 20% in the forecast during the heavy irrigation months to account for conservation gained during the previous three years of drought. Notable is that Healdsburg’s average water demand significantly increases during these summer irrigation months when water supplies are the most constrained. The uppermost line on the graph indicates the City’s water supplies under normal conditions. While under normal conditions the City water supply is adequate for current needs and future growth, during years of below average rainfall or prolonged drought there is a need for conservation. 2023 Forecasted water demands (red line) in comparison to available water supplies (blue line).

Data shown includes actual consumption for January through March.

Healdsburg’s summertime conservation is expected to be around 20% due to behavioral changes set during the past multi-year drought. Should these behavioral changes not result in a 20% conservation, the City’s water supplies are sufficient to meet customer demand.

Per the 2020 UWMP, the Board requires water suppliers to predict water supplies and demands under a single dry-year condition. Under a single-dry year criterial for calendar year 2024 and the first half of 2025 Healdsburg is expected to be similar to recent droughts in years 2014, 2015, 2021, and 2022. For a conservative approach, City staff assumes 2021 conditions represent the worst-case scenario for a single dry year. During 2021, the City lost the use of all permitted water rights. This left Healdsburg with only a Human Health and Safety (HH&S) exemption to divert water from the Russian River and Dry Creek. Under a petition filed with the Board,

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Healdsburg requested a total HH&S water limit of 112 gallons per capita day (GPCD). This limit represents the combined needs of both residents, businesses, and institutional needs throughout Healdsburg. This number also represents a roughly 50% decrease in water usage during the summer months and is the basis of supply restrictions for single dry years.

Forecasted water supplies during a dry-year (blue line) and consumer demands with conservation (red line) for 2024/25 single-dry year. Both the summertime supply and customer demands assumer operating at the minimum limits of Human Health & Safety needs.

To achieve a 50% reduction in water usage the City would need to implement Stage 5 of the current water shortage contingency plan. Stage-5 significantly restricts outdoor water usage, initiates water budgets for residential customers, and delays new water connections. The 2023 chart shows water supplies and demands starting calendar year 2024 and through June of 2025.

The demand reduction shown is very similar to summer of 2021 water conservation efforts.

Again, the dry-year forecast is a planning exercise and not what is expected for calendar year 2024.

City staff continues to develop alternate water supplies that are not immediately impacted by low-rain years. These projects include aquifer storage and recovery wells (ASR) and a municipal recycled water pipeline. The City has received funding for the recycled water pipeline and plans to award a construction contract in late FY2024. Additionally, the City has received a preliminary award for the ASR from the Federal Emergency Management Agency (FEMA).

While this preliminary award is promising, staff still expects several months before FEMA will provide a final notice of award. In addition to the pursuit of long-term water supply projects, the City will also need a continued effort in building efficient landscape irrigation.

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There is no recommended action with this staff report. Staff is providing this information to meet a regulatory requirement and inform the Council of the current water supply and demands as well as providing predictions of what a dry year may require in conservation.

ENVIRONMENTAL STEWARDSHIP:

The annual water supply and demand update increases the Council and Community’s awareness of a finite natural resource. A better understating in this area ultimately will lead to improved management of Healdsburg’s water supply.

ALTERNATIVES:

There are no actions requested or alternatives provided with this staff report.

FISCAL IMPACT:

There is no fiscal impact directly associated with this staff report. Continued conservation and development of new water supplies will create a fiscal impact on Healdsburg’s Water Department. Conservation will lower fiscal year revenues and additional projects will increase capital costs as well as ongoing operational costs. Conservation efforts like lawn conversions that have lasting impacts will help to lessen the ongoing need for new water supplies and may help reduce total fiscal impacts in the long run by reducing the extent of new projects required to support demand.

ENVIRONMENTAL ANALYSIS:

The receipt and review annual water supply and demand forecasts is not subject to the provisions of the California Environmental Quality Act (CEQA) because these informational items are not a project since they are not a discretionary action by a governmental agency and will not have a direct or reasonably foreseeable indirect impact on the environment.

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CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Rejection of all bids received for the Healdsburg Municipal Airport Construct New Taxiway A2, Remove Taxiway A2, A3, A5, and Abandoned Pavement, Rehabilitate Taxiway Lighting and Signage Project PREPARED BY: Clay Thistle, Senior Engineer
STRATEGIC INITIATIVE(S):

Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Adopt a Resolution rejecting all bids received for the Healdsburg Municipal Airport Construct New Taxiway A2, Remove Taxiway A2, A3, A5, and Abandoned Pavement, Rehabilitate Taxiway Lighting and Signage Project and direct staff to revise and re-advertise the project.

COMMUNITY ENGAGEMENT/OUTREACH:

The Project was advertised for public bidding in the Santa Rosa Press Democrat and on the City’s website.

BACKGROUND:

The Healdsburg Municipal Airport (Airport) is a Federal Aviation Administration (FAA) sponsored airport.

The City annually prepares an Airport Capital Improvement Program (ACIP) outlining the proposed maintenance and improvement projects for the next five or more years. The ACIP is reviewed and approved by the FAA allowing the City to be eligible for FAA grant funding. The City routinely receives funding from the FAA for qualifying projects.

The Remove Taxiways A2, A3, A5, Construct New Taxiway A2 and Rehabilitate Taxiway Lighting and Signage Project is included in the ACIP.

In November 2022 the City submitted a grant preapplication for the project.

DISCUSSION/ANALYSIS:

A notice inviting bids was advertised in accordance with all applicable procedures, and the City

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received two bids. The lowest bid was from Argonaut Constructors, Inc. of Santa Rosa, California in the amount of $1,275,365.00. A second bid was received from Ghilotti Construction, Inc. of Santa Rosa in the amount of $1,492,165.75. The low bid was higher than the engineer’s estimate of $560,000 by approximately 125%.

The higher than expected construction costs are being seen throughout the industry and can be attributed to sharp increases in material cost, limitations on labor and material availability, and a surplus of work available for contractors.

Pursuant to the California Public Contract Code, the City Council can reject all bids without risk of protest or claims from the bidding contractors. The City cannot renegotiate the contract after advertising for bids or prior to award of the contract.

Rejecting all bids, revising (reduced scope of work) and re-advertising the project should allow the City to prioritize the taxiway modification work that needs to be completed at the Airport and bid a project that is in line with the available funding. Portions of work removed from the original project scope will be planned for future years.

ENVIRONMENTAL STEWARDSHIP:

The project includes reuse and recycling to divert as much as possible of the construction waste from landfill. Concrete and asphalt removed will be reused onsite or delivered to local recyclers for reuse in new paving and concrete products.

ALTERNATIVES:

City Council could direct staff to proceed with the project as designed and award to the apparent low bidder. This would require a substantial amount of unidentified funding as the Airport Fund does not have sufficient fund balance to support the project costs.

Alternatively, City Council could reject all bids and direct staff not to revise and re-advertise the project. This would leave the needed taxiway improvements undone and risk portions of FAA funding expiring.

FISCAL IMPACT:

The Project is included in the adopted 2022-23 CIP in the Airport Capital Fund as project AP002 with a total budgeted amount of $608,000. Funding sources include $511,140 in FAA Grant funding, $27,360 in Caltrans grant funding and the remaining $69,500 in Airport Capital Funding.

Rejecting all bids, revising the scope of work, and re-advertising the project should allow for a project scope within the existing funding amounts.

ENVIRONMENTAL ANALYSIS:

The recommended action does not constitute a “project” under CEQA, pursuant to Section 15378(b)(4)(5) of the California Environmental Quality Act (CEQA). The future construction project will be subject to environmental review and pending approval pursuant to CEQA guidelines at a future date.

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The FAA has determined the proposed project is Categorically Excluded pursuant to FAA Order 050.1F as it relates to the National Environmental Policy Act of 1969, as amended (NEPA) ATTACHMENT(S):

Resolution

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CITY OF HEALDSBURG
RESOLUTION NO. __-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG REJECTING ALL BIDS RECEIVED FOR THE

HEALDSBURG MUNICIPAL AIRPORT CONSTRUCT NEW
TAXIWAY A2, REMOVE TAXIWAY A2, A3, A5, AND

ABANDONDED PAVEMENT, REHABILITATE TAXIWAY

LIGHTING AND SIGNAGE PROJECT AND DIRECT STAFF TO

REVISE AND RE-ADVERTISE THE PROJECT
WHEREAS, the notice inviting bids for the Healdsburg Municipal Airport Construct New Taxiway A2, Remove Taxiway A2, A3, A5, and Abandoned Pavement, Rehabilitate Taxiway Lighting and Signage Project was advertised in accordance with applicable procedures; and WHEREAS, the City received two bids; and
WHEREAS, the lowest bid was higher than the engineer’s estimate of $560,000 by approximately 125%; and
WHEREAS, the higher than expected construction costs are being seen throughout the industry and can be attributed to sharp increases in material cost, limitations on labor and material availability, and a surplus of work available for contractors; and WHEREAS, pursuant to the California Public Contract Code, the City Council can reject all bids without risk of protest or claims from the bidding contractors; and WHEREAS, the City cannot renegotiate the contract after advertising for bids or prior to award of the contract; and
WHEREAS, staff recommends rejecting all bids, revising (reduced scope of work) and readvertising the project allowing the City to prioritize the work that needs to be completed at the Airport and bid a project that is in line with the available funding; and WHEREAS, portions of work removed from the original project scope will be planned for future years; and
WHEREAS, the recommended action does not constitute a “project” under CEQA, pursuant to Section 15378(b)(4)(5) of the California Environmental Quality Act (CEQA). The future construction project will be subject to environmental review and pending approval pursuant to CEQA guidelines at a future date.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby:

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1. Finds recommended action does not constitute a “project” under CEQA, pursuant to Section 15378(b)(4)(5) of the California Environmental Quality Act (CEQA).

2. Rejects all bids received.

3. Directs staff to revise (reduce scope of work) and re-advertise the project to allow the City to prioritize the work that needs to be completed at the Airport and bid a project that is in line with the available funding.

PASSED, APPROVED AND ADOPTED, this 17th day of April 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:
_________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Attachment: Resolution (4013 : Reject Bids for the Healdsburg Municipal Airport Taxiway Project)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project
PREPARED BY: Larry Zimmer, Public Works Director
STRATEGIC INITIATIVE(S):

Maintain and Improve Infrastructure and Facilities
Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):

Adopt a Resolution requesting Metropolitan Transportation Commission allocation of Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project funding for Fiscal Year 2021-22 of $125,000 for the FY 2023-24 Sidewalk Repair and Gap Closures Project.

COMMUNITY ENGAGEMENT/OUTREACH:

The Sidewalk Repair and Gap Closures Project will provide safe pedestrian walkways and provide sidewalk continuity at various locations citywide. Due to the nature of this work no specific outreach has been performed.

BACKGROUND:

Transportation Development Act (TDA) funds are generated from a statewide ¼ cent sales tax.

Article 3 of TDA (TDA3) is a set-aside of approximately 2% of those funds for bicycle and pedestrian planning and projects. The Metropolitan Transportation Commission (MTC) administers TDA3, which is distributed based on population. With a carryover balance from previous years, the available balance for the City of Healdsburg will be $125,000 for FY2023/2024. There are no matching requirements with this funding source. Projects are required to comply with CEQA; be completed within three years; be maintained; be consistent with adopted bicycle plans; and be recommended by a bicycle and pedestrian advisory committee and authorized by the City Council. This project has been recommended by the County Bicycle and Pedestrian Advisory Committee.

DISCUSSION/ANALYSIS:

The Public Works Department has been removing trip hazards on our sidewalk system through horizontal saw cutting citywide over the last five years. Certain locations were identified

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through this process that are not able to be cut and must be replaced to remove the vertical offsets caused by root intrusion and damaged walkways. This project will repair those locations.

The resulting continuous sidewalk will enhance walkability for the area and improve pedestrian safety.

Staff recommends the City Council adopt a Resolution approving and authorize the City Engineer to submit a Transportation Development Act Article 3 fund application for fiscal year 2023/2024 in the amount of $125,000 for construction of the Sidewalk Repair and Gap Closures Project. The attached resolution provides the findings as required by MTC for the request of TDA3 funds.

ENVIRONMENTAL STEWARDSHIP:

Creating a safe walkway will promote active transportation and reduce emissions from vehicle travel.

ALTERNATIVES:

The City Council could choose not to request the TDA3 funds, in which case the City’s unused balance would carry over to next fiscal year to be used for another project in a future year.

FISCAL IMPACT:

The adopted Fiscal Year 2023-2024 budget included $150,000 for the FY 23/24 Sidewalk Repair and Gap Closure Project (ST012) in the Streets Capital Project Fund. The $125,000 of TDA3 funds will be used for construction of the project on a reimbursement basis only. While there is no local match required an additional $25,000 of Measure T funding is budgeted for cost overruns if needed.

ENVIRONMENTAL ANALYSIS:

The application for Transportation Development Act Article 3 funds is not a “project” pursuant to California Environmental Quality Act (CEQA) Guidelines §15378(b)(4)(5) because the application is for funding and does not itself involve commitment to any specific project that may impact the environment; therefore, no environmental review is required. Should the funding be approved, any project carried out with those funds will be reviewed in accordance with the requirements of the California Environmental Quality Act.

ATTACHMENT(S):

Resolution - Attachment A
Attachment B TDA Article 3 Project Application Form

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CITY OF HEALDSBURG
RESOLUTION NO. __-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG APPROVING THE REQUEST TO THE

METROPOLITAN TRANSPORTATION COMMISSION FOR
THE ALLOCATION OF FISCAL YEAR 2023/2024
TRANSPORTATION DEVELOPMENT ACT ARTICLE 3

PEDESTRIAN/BICYCLE PROJECT FUNDING
WHEREAS, Article 3 of the Transportation Development Act (TDA), Public Utilities Code (PUC) Section 99200 et seq., authorizes the submission of claims to a regional transportation planning agency for the funding of projects exclusively for the benefit and/or use of pedestrians and bicyclists; and
WHEREAS, the Metropolitan Transportation Commission (MTC), as the regional transportation planning agency for the San Francisco Bay region, has adopted MTC Resolution No.4108, Revised, entitled “Transportation Development Act, Article 3, Pedestrian/Bicycle Projects,” which delineates procedures and criteria for submission of requests for the allocation of “TDA Article 3” funding; and
WHEREAS, MTC Resolution No. 4108, Revised requires that requests for the allocation of TDA Article 3 funding be submitted as part of a single, countywide coordinated claim from each county in the San Francisco Bay region; and
WHEREAS, the City of Healdsburg desires to submit a request to MTC for the allocation of TDA Article 3 funds to support the project described in Attachment B to this resolution, which is for the exclusive benefit and/or use of pedestrians and/or bicyclists.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby declares:

1. It is eligible to request an allocation of TDA Article 3 funds pursuant to Section 99234 of the Public Utilities Code.

2. There is no pending or threatened litigation that might adversely affect the project or projects described in Attachment B to this resolution, or that might impair the ability of the City of Healdsburg to carry out the project.

3. The City of Healdsburg attests to the accuracy of and approves the statements in Attachment A to this resolution; and furthermore.

4. A certified copy of this resolution and its attachments, and any accompanying supporting materials shall be forwarded to the congestion management agency, countywide transportation planning agency, or county association of governments, as the case may be,

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Attachment: Resolution - Attachment A (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project) Resolution No. -2023

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of Sonoma County for submission to MTC as part of the countywide coordinated TDA Article 3 claim.

PASSED, APPROVED AND ADOPTED, this 17th day of April 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:
_________________________________ ___________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Attachment: Resolution - Attachment A (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project) Resolution No. -2023

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Resolution No. __-2023
Attachment A
Re: Request to the Metropolitan Transportation Commission for the Allocation of Fiscal Year 2023/2024 Transportation Development Act Article 3 Pedestrian/Bicycle Project Funding Findings

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1. That the City of Healdsburg is not legally impeded from submitting a request to the Metropolitan Transportation Commission for the allocation of Transportation Development Act (TDA) Article 3 funds, nor is the City of Healdsburg legally impeded from undertaking the project(s) described in “Attachment B” of this resolution.

2. That the City of Healdsburg has committed adequate staffing resources to complete the project(s) described in Attachment B.

3. A review of the project(s) described in Attachment B has resulted in the consideration of all pertinent matters, including those related to environmental and right-of-way permits and clearances, attendant to the successful completion of the project(s).

4. Issues attendant to securing environmental and right-of-way permits and clearances for the projects described in Attachment B have been reviewed and will be concluded in a manner and on a schedule that will not jeopardize the deadline for the use of the TDA funds being requested.

5. That the project(s) described in Attachment B comply with the requirements of the California Environmental Quality Act (CEQA, Public Resources Code Sections 21000 et seq.).

6. That as portrayed in the budgetary description(s) of the project(s) in Attachment B, the sources of funding other than TDA are assured and adequate for completion of the project(s).

7. That the project(s) described in Attachment B are for capital construction and/or final design and engineering or quick build project; and/or for the maintenance of a Class I bikeway which is closed to motorized traffic and/or Class IV separated bikeway; and/or for the purposes of restriping Class II bicycle lanes; and/or for the development or support of a bicycle safety education program; and/or for the development of a comprehensive bicycle and/or pedestrian facilities plan, and an allocation of TDA Article 3 funding for such a plan has not been received by the City of Healdsburg within the prior five fiscal years.

8. That the project(s) described in Attachment B which are bicycle projects have been included in a detailed bicycle circulation element included in an adopted general plan, or included in an adopted comprehensive bikeway plan (such as outlined in Section 2377 of the California Bikeways Act., Streets and Highways Code section 2370 et seq. or responds to an immediate community need, such as a quick-build project.

9. That any project(s) described in Attachment B bicycle project meets the mandatory minimum safety design criteria published in the California Highway Design Manual or is in a National

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Attachment: Resolution - Attachment A (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project) Resolution No. -2023

Page 4 ends

Association of City and Transportation Officials (NACTO) guidance or similar best practices document.

10. That the project(s) described in Attachment B will be completed in the allocated time (fiscal year of allocation plus two additional fiscal years).

11. That the City of Healdsburg agrees to maintain, or provide for the maintenance of, the project(s) and facilities described in Attachment B, for the benefit of and use by the public.

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Attachment: Resolution - Attachment A (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project) November 2022 TDA Article 3 Model Resolution Page 5
Resolution No. _____ page ___ of ___
Attachment B
TDA Article 3 Project Application Form

1. Agency City of Healdsburg

2. Primary Contact Eddie Mercado

3. Mailing Address 401 Grove Street, Healdsburg, CA 95448

4. Email Address [email protected] 5. Phone Number
(707)473‐
4469

6. Secondary Contact
(in the event
primary is not
available)
Larry Zimmer

7. Mailing address (if
different) N/A
☒

8. Email Address [email protected] 9. Phone
Number
(707)431‐
3333

10. Send allocation
instructions to (if
different from
above):

11. Project Title Sidewalk Repair and Gap Closure

12. Amount
requested
$125,000 13. Fiscal Year of
Claim
2023‐2024

14. Description of Overall Project:

15. Project Scope Proposed for Funding: (Project level environmental, preliminary planning, and ROW are ineligible uses of TDA funds.)

16. Project Location: A map of the project location is attached or a link to a online map of the project location is provided below:

Perform sidewalk repairs and gap closures throughout the city and install new sidewalk at select locations. Sidewalk improvements will be installed to meet ADA compliance and to establish a safe and convenient bicycle and pedestrian network.

Construction of sidewalk repairs and gap closures throughout the city.

Exact locations will be defined by the design process.

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Attachment: Attachment B TDA Article 3 Project Application Form (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and November 2022 TDA Article 3 Model Resolution Page 6
Project Relation to Regional Policies (for information only)

17. Is the project in an Equity Priority Community? Yes☐ No☒

18. Is this project in a Priority Development Area or a Transit‐Oriented Community? Yes☐ No☒

19. Project Budget and Schedule
Project Eligibility
A. Has the project been reviewed by the Bicycle and Pedestrian Advisory Committee? Yes☒ No☐ If “YES,” identify the date and provide a copy or link to the agenda.

If "NO," provide an explanation).

B. Has the project been approved by the claimant's governing body?    Yes☒        No☐ If "NO," provide expected date:___4/17/2023_____
C. Has this project previously received TDA Article 3 funding?    Yes☐        No☒ (If "YES," provide an explanation on a separate page)
D. For "bikeways," does the project meet Caltrans minimum safety design criteria   Yes☐        No☐ pursuant to Chapter 1000 of the California Highway Design Manual? E. 1.  Is the project categorically exempt from CEQA, pursuant to CCR Section 15301(c),   Yes☒        No☐ Existing Facility?

2. If “NO” above, is the project is exempt from CEQA for another reason? Yes☐ No☐ Cite the basis for the exemption. __________________________ N/A☒ If the project is not exempt, please check “NO,” and provide environmental documentation, as appropriate.

F. Estimated Completion Date of project (month and year): ______October 2024___ G. Have provisions been made by the claimant to maintain the project or facility, or has Yes☒ No☐ the claimant arranged for such maintenance by another agency? (If an agency other than the Claimant is to maintain the facility, please identify below and provide the agreement.

H. Is a Complete Streets Checklist required for this project ? Yes☐ No☒ If the amount requested is over $250,000 or if the total project phase or construction phase is over $250,000, a Complete Streets checklist is likely required. Please attach the Complete Streets checklist or record of review, as applicable. More information Project Phase TDA 3 Other Funds Total Cost Estimated Completion (month/year)
Bike/Ped Plan
ENV
PA&ED
PS&E
ROW
CON 125,000 25,000 150,000
Total Cost 125,000 25,000 150,000 10/1/2024

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Attachment: Attachment B TDA Article 3 Project Application Form (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and November 2022 TDA Article 3 Model Resolution Page 7
and the form may be found here: https://mtc.ca.gov/planning/transportation/complete‐streets

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Attachment: Attachment B TDA Article 3 Project Application Form (3955 : Transportation Development Act Article 3 (TDA3) Pedestrian and

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Healdsburg Municipal Code Amendments to Allow for Commercial Cannabis Uses
PREPARED BY: Scott Duiven, Community Development Director STRATEGIC INITIATIVE(S):

Establish Proactive Policies/Programs to Continue to Promote Economic Diversity & Sustainable Growth
RECOMMENDED ACTION(S):

Pass an ordinance repealing Healdsburg Municipal Code Chapter 8.32: Medical Marijuana Dispensaries; amending Section 20.08.145: Permitted and Conditionally Permitted Uses in the Plaza Retail (PR), Downtown Commercial (CD), and Service Commercial (CS) Districts; amending Section 20.08.155: Permitted and Conditionally Permitted Uses in the Mixed Use (MU) District; amending Section 20.08.195: Permitted and Conditionally Permitted Uses in the Industrial (I) District; adding a new Section 20.20.095: Commercial Cannabis Uses and Requirements; amending Section 20.20.100: Marijuana Cultivation, Possession and Use; amending Section 20.28.310: Definitions; and related CEQA Exemption.

COMMUNITY ENGAGEMENT/OUTREACH:

A public hearing notice was published in the Press Democrat and posted at City Hall.

BACKGROUND:

On March 20, 2023, the City Council introduced an ordinance amending various sections of the Healdsburg Municipal Code to allow for commercial cannabis uses.

DISCUSSION/ANALYSIS:

Amendments to the Healdsburg Municipal Code include:
1) Repealing Chapter 832: Medical Marijuana Dispensaries. 2) Amending the Permitted and Conditionally Permitted Uses in the Plaza Retail (PR), Downtown Commercial (CD), Service Commercial (CS), Mixed Use (MU), and Industrial (I) Districts to allow for commercial cannabis uses. 3) Adding a new Section 20.20.095: Commercial Cannabis Uses and Requirements establishing standards and requirements for commercial cannabis uses.

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4) Amending Section 20.20.100 Marijuana Cultivation, Possession and Use to remove and replace the term “Marijuana” with the term “Cannabis”, eliminate references to previously prohibited uses, and eliminate duplicative definitions. 5) Amending Section 20.28.310: Definitions to include cannabis-related definitions providing additional clarity in the implementation of the commercial cannabis ordinance.

ENVIRONMENTAL STEWARDSHIP:

Should Council ultimately allow commercial cannabis operations in Healdsburg, there may be limited reductions in greenhouse gas emissions as fewer individuals may travel out of town to neighboring jurisdictions to purchase cannabis from other cities’ dispensaries.

ALTERNATIVES:

No alternatives are provided in that the requested action is the second reading of an ordinance.

FISCAL IMPACT:

The establishment of a commercial cannabis business permit fee, which will be brought forward as a separate action for council consideration, will recover costs associated with staff time associated with implementing the commercial cannabis program. Additional revenues are anticipated from the cannabis business tax and may be spent on unrestricted general revenue purposes, including for police, fire and emergency services, parks, affordable housing, and street maintenance.

ENVIRONMENTAL ANALYSIS:

The proposed Healdsburg Municipal Code amendments are exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) (the “common sense exemption”) because it can be seen with certainty that there is no possibility that the amendments will have a significant effect on the environment.

ATTACHMENT(S):

Commercial Cannabis Ordinance

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CITY OF HEALDSBURG
ORDINANCE NO. ____

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HEALDSBURG REPEALING HEALDSBURG MUNICIPAL CODE CHAPTER 8.32: MEDICAL MARIJUANA DISPENSARIES; AMENDING SECTION 20.08.145: PERMITTED AND

CONDITIONALLY PERMITTED USES IN THE PLAZA RETAIL (PR), DOWNTOWN COMMERCIAL (CD), AND SERVICE COMMERCIAL (CS) DISTRICTS; AMENDING SECTION 20.08.155: PERMITTED AND CONDITIONALLY PERMITTED USES IN THE MIXED USE (MU) DISTRICT; AMENDING SECTION 20.08.195: PERMITTED AND CONDITIONALLY PERMITTED USES IN THE INDUSTRIAL (I) DISTRICT; ADDING A NEW SECTION 20.20.095: COMMERCIAL CANNABIS USES AND REQUIREMENTS; AMENDING SECTION 20.20.100: MARIJUANA CULTIVATION, POSSESSION AND USE; AND AMENDING SECTION 20.28.310: DEFINITIONS TO ALLOW FOR COMMERCIAL

CANNABIS USES
WHEREAS, pursuant to its police powers and as authorized by the California Compassionate Use Act, the California Medical Cannabis Regulation and Safety Act (“MCRSA”), the Adult Use of Marijuana Act (“AUMA”), SB 94 and the Medical and Adult Use Cannabis Regulation and Safety Act (“MAUCRSA”), the City may enact laws or regulations pertaining to cannabis cultivation, dispensing, manufacturing, distribution, transportation, and testing within its jurisdiction; and
WHEREAS, the City wishes to establish a uniform regulatory structure for cannabis uses in the City in accordance with state law; and
WHEREAS, the City of Healdsburg Municipal Code (HMC) regulates allowable uses and development standards within the City; and
WHEREAS, amendments are proposed to the HMC including repealing Chapter 8.32:

Medical Marijuana Dispensaries in its entirety; amending Section 20.08.145: Permitted and conditionally permitted uses in the Plaza Retail (PR), Downtown Commercial (CD), and Service Commercial (CS) districts; amending Section 20.08.155: Permitted and conditionally permitted uses in the Mixed Use (MU) district; amending Section 20.08.195 Permitted and conditionally permitted uses in the Industrial (I) district; adding a new Section 20.20.095: Commercial cannabis uses and requirements; amending section 20.20.100 Marijuana cultivation, possession and use; and amending Section 20.28.310: Definitions to allow for commercial cannabis uses; and
WHEREAS, the Planning Commission held a duly noticed public hearing on February 28, 2023, at which time it reviewed the proposed amendments and considered all public comments on the revisions and the related CEQA exemption; and WHEREAS, the proposed amendments will not allow for, nor encourage, any more development than is already anticipated under the City’s General Plan, or otherwise allow for or

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) promote physical changes in the environment and, therefore, it can be seen with certainty that there is not a possibility that the proposed amendments may have a significant impact on the environment; and
WHEREAS, the proposed amendments are exempt from the California Environmental Quality Act pursuant to Section 15061(b)(3) (general rule) of the CEQA Guidelines in that as a general policy making activity and/or administrative activity there is no possibility that the implementation of this ordinance will have significant effects on the environment; and WHEREAS, the Planning Commission made the following affirmative findings pursuant to HMC Section 20.28.282 in support of the proposed amendments:

A. The amendments are consistent with the Healdsburg 2030 General Plan including the goals, and policies, in that no conflicts with any Goals, Policies, Programs or measures of the Healdsburg General Plan 2030 have been identified.

B. The amendments are consistent with the objectives of the Land Use Code contained in Section 20.04.010 given that: a) adoption of the proposed amendments will continue to protect and promote the public health, safety and general welfare of the community by providing updated standards; and b) the amendments will implement the goals, policies, and programs contained in the Healdsburg 2030 General Plan.

C. The Planning Commission has conducted a public hearing on the draft Land Use Code Amendments with hearing notices provided as prescribed in Land Use Code Section

20.28.080, including newspaper publication at least 10 days prior to the hearing date.

D. The amendments are exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines.

WHEREAS, based upon the Planning Commission’s findings, the City Council determines that the revisions are consistent with the General Plan including the Goals, Policies, and Implementation Measures of the Housing, Land Use, and Economic Development Elements of the adopted General Plan, and that the revisions are internally consistent with all other provisions of the Municipal Code.

NOW, THEREFORE, the City Council of the City of Healdsburg does ordain as follows:

Section 1. Findings.

The above recitals are hereby declared to be true and correct findings of the City Council of the City of Healdsburg.

Section 2. Chapter 8.32 Medical Marijuana Dispensaries is hereby repealed in its entirety.

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Section 3. Section 20.08.145 Permitted and conditionally permitted uses in the Plaza Retail (PR), Downtown Commercial (CD), and Service Commercial (CS) Districts shall be amended to allow commercial cannabis uses as follows:

20.08.145 Permitted and conditionally permitted uses: PR, CD, and CS Districts The following permitted and conditionally permitted uses may be allowed in the PR, CD and CS Districts. Chapter

20.28 HMC, Article V describes the procedures for obtaining a conditional use permit.

Table 10 Permitted and conditionally permitted uses: PR, CD and CS Districts Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Residential Uses
Accessory dwelling unit P P P HMC 20.20.010
Day care, general -- C C
Day care, limited -- P P
Homeless shelters -- -- P
Multifamily dwellings located on the same site as a commercial use – above ground floor C P P
Multifamily dwellings located on the same site as a commercial use – any floor -- P P Residential care, general -- C C
Residential care, limited -- P P
Single-room occupancy dwellings located on the same site as a commercial use – above ground floor C P P
Single-room occupancy dwellings located on the same site as a commercial use – any floor -- P P
Supportive housing P P P
Transitional housing P P P
Vacation rental -- C --
Retail Trade and Services
Ambulance service -- -- P
Antique car display and sales -- C P
Antique sales – above ground floor P P C
Antique sales – ground floor C P C
Art galleries and picture framing with art sales P P P
Arts and crafts schools -- P P
Arts, crafts and hobby stores, including instructional classes as an accessory use P P P Automobile rentals -- -- P
Automobile washing (self-service) -- -- P
Automotive repair -- -- C

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Automotive sales and service, new and used, with auto service -- -- P Automotive service stations, including smog testing, minor repair (tune-ups and brake repair only), towing services, vehicle storage and mini-markets -- -- C Automotive supply stores -- P P
Automotive upholstery shops -- -- C
Bakeries, retail P P P
Banks, savings and loans, thrift and loans, credit unions, including automated teller machines and drive-through facilities -- C C
Banks, savings and loans, thrift and loans, credit unions, including automated teller machines (no drive-through) C P P
Barber shops/beauty shops – above ground floor P P P
Barber shops/beauty shops – ground floor -- P P
Bars and cocktail lounges C C C HMC 20.20.075
Beer and wine sales (off-premises consumption), ancillary to mini-market retail sales contained within a service station -- -- C HMC 20.20.075 Bicycle sales and repair shops, including rentals -- P P Blueprint and photo reproduction shops -- P P
Boat sales and service -- -- P
Bookstores and newsstands – above ground floor P P P
Bookstores and newsstands – ground floor C P P
Bowling alleys -- -- P
Building material sales -- -- C
Bus depots C C C
Cabinet shops -- -- C
Cannabis Storefront Retailer (Dispensary) -- P P HMC 20.20.095 Cannabis Microbusiness (without cultivation) -- P P HMC 20.20.095 Card and stationers’ stores P P P
Carnivals and circuses, temporary -- -- C
Catering shops (food to go only) -- P P
Christmas tree sales lots, temporary P P P
Clothing and shoe establishments, including clothing sales (new merchandise only), tailor shops, and dressmaking establishments P P P
Computer retail sales -- P --
Consignment sales with incidental sales of used goods and clothing -- P P Contractors’ equipment rental yards & equipment rental yards -- -- C Contractors’ shops with no outdoor storage of heavy equipment -- -- P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Delicatessens and gourmet food sales with incidental catering P P C Dental labs -- P P
Department stores -- P P
Dry cleaners and laundries -- P P
Electronic games centers (4 or more games) -- C C
Fabric shops P P P
Farmers markets C C C
Firearm dealers -- -- C HMC 20.20.105
Floor covering and drapery sales -- C P
Florists, including outdoor sales P P P
Food and cold storage lockers -- C P
Food stores over 3,500 square feet in retail sales -- P P Food stores up to 3,500 square feet in retail sales C P P Furniture repair -- P P
Furniture stores, retail P P P
Gift shops P P P
Glass shops (glaziers) -- -- P
Hardware, paint and wallpaper stores, with no firearm sales -- P P Hardware, paint and wallpaper stores with firearm sales -- -- C HMC 20.20.105 Health clubs, gymnasiums and dance studios -- C P
Home electronics and household appliance stores, including television, stereo, radio, telephone, computer and related sales (includes repair and installation services) -- P P Hotels, extended stay hotels and motels C C -- HMC 20.20.090 Ice cream parlors, soda fountains and candy stores P P P Interior furnishing and accessory shops P P P
Jewelry sales and repair, including watch and clock repair P P P Kennels -- -- C
Kitchenware shops P P P
Laboratories -- C P
Laundries – self-service -- P P
Linen supply services -- -- P
Liquor, beer and wine sales – off-premises consumption C C C HMC 20.20.075 Live-work facilities -- P P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Locksmiths -- P P
Machinery sales, service, rental -- -- P
Manufacturing/processing – light; provided, that all of the conditions prescribed by Chapter 20.24 HMC, Article I, are met, and that no motor power other than electrically operated motors shall be used. The horsepower of any single motor shall not exceed five horsepower and the total horsepower of all such motors on the site shall not exceed 25 total horsepower. This does not include air conditioning equipment.
-- C C
Massage establishments – above ground floor P P P
Massage establishments – any floor -- P P
Medical and dental clinics -- -- P
Mortuaries -- C C
Motorcycle sales and service -- C P
Music and dance entertainment clubs -- P C
Musical instrument sales, repair and lessons; and recorded music sales – above ground floor P P P
Musical instrument sales, repair and lessons; and recorded music sales – ground floor C P P
Nightclubs C C C HMC 20.20.075
Nurseries and garden supply stores -- C P
Office equipment sales and service -- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – any floor
-- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – above ground floor

P -- --
Offices – psychologist, psychiatrist, counseling and therapy -- P P Optician and optometrist shops -- P P
Outdoor vendors on private property C C --
Parking lots and parking garages C P P
Patio and garden furniture and accessories shops -- P P Pet shops, including pet grooming -- P P
Pharmacies and drugstores C P P
Photography shops, studios and photo supply stores C P P Picture framing shops -- P P
Plumbing supply shops -- C P
Pool and billiards halls -- C P
Pool and spa sales and service -- -- P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Post office and private mail services -- C P
Pottery and woodworking shops -- -- P
Printing, lithography and engraving -- C P
Public information centers – indoor P P P
Public utility installations, including public service pumping stations, power stations and substations, equipment buildings and installations -- C C Radio and television broadcast and recording studios -- C C Radio, television and stereo sales and service -- P P
Recreational equipment rental -- -- P
Recreational vehicle sales, services, repair and storage -- -- P Residential visitor lodging -- C C
Restaurants, cafes and eating establishments, indoor and outdoor eating, including sale of alcoholic beverages as an ancillary use and indoor music with no sound amplification
P P P
• Amplified music C C C
Restaurants, drive-in, walk-up and drive-through -- -- C Retail warehouses over 6,000 square feet of floor area -- -- C Retail warehouses under 6,000 square feet of floor area -- -- P Secondhand stores and pawn shops -- C C
Shoe repair -- P --
Sign painting -- C P
Skating rinks (within building) -- -- P
Spa, day -- P P
• Above ground floor C P --
• Any floor -- P --
Spa, overnight P P --
Sporting goods sales, with rental as an accessory use, with no firearm sales -- P P Sporting goods sales, with rental as an accessory use, with firearm sales -- -- C HMC 20.20.105 Supermarkets (over 3,500 square feet of retail sales area) -- P P Tasting room C C -- HMC 20.20.075
Theaters and auditoriums C C C
Tire sales, not including tire recapping -- -- P
Tobacco and pipe shops P P P
Toy stores P P --
Travel agencies – above ground floor P P P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Specific Use Regulations
Travel agencies – ground floor C P P
Upholstery shops -- C C
Vacation timeshares -- -- --
Variety stores and dry goods -- P P
Vending machine service -- -- P
Veterinarian offices and small animal hospitals -- -- C Recreation, Education and Public Assembly
Churches and other religious institutions -- C C
Private clubs, fraternal lodges and meeting halls C C C Private museums P C --
Accessory Uses
Accessory structures and uses located on the same site as a permitted or conditional use
P P P
-- = not permitted
Section 4. Section 20.08.155 Permitted and conditionally permitted uses in the Mixed Use (MU) District shall be amended to allow commercial cannabis uses as follows:

20.08.155 Permitted and conditionally permitted uses: MU District Table 12 identifies the permitted and conditionally permitted uses for the Mixed Use District. This table is to be used in conjunction with the definitions contained in Chapter 20.28 HMC, Article IX. Refer also to the specific use regulations as noted. Chapter 20.28 HMC, Article V, describes the procedures for obtaining a conditional use permit. Chapter 20.12 HMC, Article IV, describes specific regulations that apply to areas within the Mixed Use District that are also within the North Entry Area Plan Overlay.

Table 12 Permitted (P) and conditionally permitted uses: MU District Permitted (P) and Conditionally Permitted (C) Uses Specific Use Regulations Residential Uses
Accessory dwelling unit and junior
accessory dwelling unit P
HMC 20.20.010
Employee housing for six or fewer
employees in accordance with Cal.

Health & Safety Code § 17000 et seq.

P
Home occupations P HMC 20.20.005
Residential uses as part of a mixed use
development C
Multifamily dwellings not part of a
mixed use development P
Residential care, general C
Residential care, limited P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses Specific Use Regulations Single-family attached dwellings not part
of a mixed use development P
Supportive housing P
Transitional housing P
Vacation rental homes --
Retail Trade
Alcoholic beverages (off-sale) C HMC 20.20.075
Artisan shop P
Cannabis Storefront Retailer
(Dispensary) P
HMC 20.20.095
Cannabis Microbusiness (without
cultivation) P
HMC 20.20.095
Convenience store
• Beer and wine sales (off-sale), ancillary
C
C HMC 20.20.075
Grocery and specialty food sales
• 3,500 square feet or less
• More than 3,500 square feet
P
C
Outdoor display and sales P Ch. 20.16 HMC, Art. V
Retail, general
• Extended hours
• Secondhand goods
P
C
C
Sporting goods sales, with rental as an
accessory use, with firearm sales C
HMC 20.20.105
Services
Bank, financial services P
Business support services P
Catering P
Instructional services C
Medical services, minor C
Personal services P
Recycling, small collection facility C
Specialty transportation rental, touring
services C
Storage – indoor C
Tasting room C HMC 20.20.075
Vehicle services – service station
• Beer and wine sales (off-sale), ancillary
C
C
HMC 20.20.065
HMC 20.20.075
Visitor lodging C
Eating and Drinking Establishments, Entertainment
Bar, nightclub C HMC 20.20.075

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Permitted (P) and Conditionally Permitted (C) Uses Specific Use Regulations Restaurant
• Amplified music audible from outside
the building
• Extended hours
P
C
C
HMC 20.16.080
Food and Beverage Production
Food and beverage production – limited C
Utilities
Public utility facility P
Telecommunication facility – minor P HMC 20.20.080
Telecommunication facility – major C HMC 20.20.080
Accessory Uses
Accessory uses customarily associated
with or essential to a permitted or
conditionally permitted use, and operated
incidental to the principal use
P
Drive-through service C
Section 5. Section 20.08.195 Permitted and conditionally permitted uses in the Industrial (I) District shall be amended to allow commercial cannabis uses as follows:

20.08.195 Permitted and conditionally permitted uses
The following table identifies the permitted and conditionally permitted uses for the Industrial District. This table is to be used in conjunction with the definitions contained in Chapter 20.28 HMC, Article IX. Chapter 20.28 HMC, Article V describes the procedures for obtaining a conditional use permit.

Table 15 Permitted (P) and conditionally permitted (C) uses: I District Residential Uses Specific Use Regulations
Home-based business P
Live/work facilities, including caretaker residence C
Supportive housing P
Transitional housing P
Workforce housing C
Retail Trade
Non-Storefront Commercial Medicinal Retailer (Delivery
Only) P
HMC 20.20.095
Cannabis Storefront Retailer (Dispensary) P HMC 20.20.095 Cannabis Microbusiness (without cultivation) P HMC 20.20.095 Firearm dealers C HMC 20.20.105
Retail sales, bulky products
• Outdoor display and sales
P
C
Retail, general, of products manufactured, assembled or P

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) warehoused on the same premises, incidental to the primary use
Vehicle and agricultural equipment sales and related
equipment and supplies sales
C
Wholesaling and distribution
P
Services
Adult entertainment
C
Business support services
P
Catering
P
Commercial recreation
C
Equipment rental • With outdoor storage and displayPC
Equipment storage yard
C
Fitness center
P
Furniture repair, refinishing and re-upholstery
P
Instructional services • Abutting a residential or office use or zoning districtPC Kennel, animal grooming and sales of related equipment and supplies
C
Maintenance/repair service P*
Mortuary
C
Offices, nonmedical
C
Offices, medical, where medical, dental, mental health, surgical and/or other similar health care services are
provided on an outpatient basis, and that accommodate no more than four licensed primary practitioners (such as
medical doctors, dentists, chiropractors, psychologists) withina single office suite ina building specifically
designed for office uses. This classification does not include hospitals, clinics, laboratories and dispensing opticians and optometrists.

C
Recycling facility • Small collection facility • Medium collection facility CC
Restaurant
P
Storage– personal storage facility
P
Vehicle rental
C
Vehicle services • Major maintenance and repair • Minor maintenance and repair • Service station CPP
Vehicle/boat storage
C
Veterinarian, small animal hospital
C
Industrial Uses
Alcoholic beverage manufacturing facility • Amplified musicPC

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• Tasting room
C
C
Cannabis manufacturing facility (non-volatile/no solvents) P HMC 20.20.095 Cannabis manufacturing facility (volatile solvents) --
Cannabis distributor P HMC 20.20.095
Cannabis testing laboratory P HMC 20.20.095
Laboratory – medical, analytical P
Manufacturing/processing – light P
Manufacturing/processing – moderate C
Research and development P
Warehouse P
Accessory Facilities and Uses
Accessory uses customarily associated with or essential to a permitted use, and operated incidental to the principal use, including offices
P
Tasting of food and nonalcoholic beverage products
produced on site P
Public and Quasi-Public Uses
Transit station P
Mail collection and distribution center P
Utilities
Public utility facility P
Telecommunication facility – minor P
Telecommunication facility – major C
* If this use (maintenance/repair service) includes firearm sales, a conditional use permit is required subject to the requirements of HMC

20.20.105.

Section 6. CHAPTER 20.20 Standards for Specific Land Uses shall be amended to include a new Section 20.20.095 titled “Commercial cannabis uses and requirements” as follows:

20.20.095 Commercial cannabis uses and requirements
A. Standards for All Commercial Cannabis Uses.

1. Purpose. This section provides the development, operating, and permit standards for all commercial cannabis uses, including both adult (recreational) and medicinal cannabis uses, to ensure neighborhood compatibility, minimize potential environmental impacts, mitigate potential nuisances, and provide safe, legal access to cannabis. Additional standards may apply to particular commercial cannabis uses, as established in other subsections of this section.

2. Applicability. Commercial cannabis uses shall be permitted only in compliance with the requirements of this section, state law and all other applicable requirements for the specific type of commercial cannabis use and those of the underlying base zone. In addition to the requirements of this section, commercial cannabis uses shall comply with all applicable state laws and regulations, including the California Environmental Quality Act

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) (CEQA), and other applicable provisions of the City of Healdsburg’s general plan and municipal code. The terms used in this section are defined in Municipal Code section 20.28.310, except for those terms that are defined specifically in this section. Except for hospitals and research facilities that obtain written permission for cannabis cultivation under federal law, it is unlawful to engage in any commercial cannabis use within the City without first having obtained from the City a valid commercial cannabis permit issued pursuant to the provisions of this section. Possession of other types of state or city permits or licenses does not exempt a person or entity from the requirement of obtaining a commercial cannabis permit under this section. Unless specific distinctions are made in subsequent subsections, these requirements shall apply equally to either adult use or medical cannabis activities.

3. Limitations on Use. A commercial cannabis use shall only be allowed if such use is in compliance with this section and all applicable provisions set forth and/or incorporated in the Healdsburg Municipal Code, including but not limited to building, plumbing, electrical, fire, hazardous materials, and public health and safety codes.

A commercial cannabis use shall comply with all laws and regulations applicable to that type of commercial cannabis use, including all state cannabis laws, and shall comply with all permit, license, approval, inspection, reporting, and operational requirements of other public agencies having jurisdiction over that type of commercial cannabis use. The commercial cannabis use owner or manager shall provide copies of other agency and department permits, licenses, or certificates to the City of Healdsburg to serve as verification of such compliance.

4. Application Procedures and Requirements. The form and content of the commercial cannabis permit application, the procedures for submitting a commercial cannabis permit application, and the procedures for the issuance and/or denial of a commercial cannabis use permit shall be specified by the City Manager or their designee. In addition to any other disclosures, data, forms, recitals, assurances, agreements, or other information required by federal, state, or local law, applicants for a commercial cannabis permit shall provide the following information when submitting an application for a commercial cannabis permit:
a. Property Owner Consent. Commercial cannabis permits shall only be issued where written permission from the property owner and/or landlord is provided. The applicant shall provide evidence of such consent. The property owner and applicant, if other than the property owner, shall sign the application for the commercial cannabis permit, and shall include affidavits agreeing to abide by and conform to the conditions of the commercial cannabis permit and all provisions of the Healdsburg Municipal Code pertaining to the establishment and operation of the commercial cannabis use, The affidavit(s) shall acknowledge that the approval of the commercial cannabis permit shall, in no way, permit any activity contrary to the Healdsburg Municipal Code, or any activity which violates any applicable laws. b. The name of the proposed commercial cannabis use, including, if applicable, the name on file with the California Secretary of State and any fictitious business names and/or DBAs. If the proposed commercial cannabis use is incorporated, the names, titles, addresses, and contact information of each corporate officer, the name, address, and contact information of the agent for service of process, a certified copy of the articles of incorporation, and a certified copy of the bylaws. If the proposed commercial cannabis use is a partnership, the names, addresses, and contact information for each partner and the agent for service of process.
c. The name, address, and contact information of each owner of the proposed commercial cannabis use.

For purposes of this section, “owner” shall have the same meaning as the word “owner” set forth in California Business and Professions Code Section 26001(am) and California Code of Regulations Title 4, Division 19, Chapter 1, Article 1, Section 15003, which includes, for each applicable commercial cannabis use, any of the following: (1) a person with an aggregate ownership interest of 20 percent or more in the entity applying for a commercial cannabis permit, unless the interest is solely a security, lien, or encumbrance , or (2) an individual who manages, directs, or controls the operations of the commercial cannabis use, including but not limited to: (a) a member of the board of directors of a nonprofit; (b) a general partner of a commercial cannabis use that is organized as a partnership; (c) a non-member manager or managing member of a commercial cannabis use that is organized as a limited liability company; (d) the trustee(s) and all persons who have control of the trust and/or the commercial cannabis use that is held in trust; and (e) the chief executive officer, president or their equivalent, or an officer, director, vice president, general manger or their equivalent.

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) d. For each applicant, owner, and manager, a criminal history (“LiveScan”), to include State and federal level checks, prepared not more than two weeks prior to the date of submitting the commercial cannabis permit application, demonstrating that there are no convictions or pending charges for a felony, a felony or misdemeanor involving moral turpitude, or any crime involving the sale, possession for sale, manufacture, transportation, cultivation, or distribution of a controlled substance within the previous ten years, and that the business owner is not currently on parole or probation for a felony, a felony or misdemeanor involving moral turpitude, or any crime involving the sale, possession for sale, manufacture, transportation, cultivation, or distribution of a controlled substance. For each owner or manager who becomes part of a commercial cannabis use after a commercial cannabis permit is issued, the commercial cannabis use must submit the required criminal history showing the absence within the past ten years of the offenses listed above to the City Manager or their designee within two weeks of the new owner or manager joining the commercial cannabis use. For purposes of this section, “manager” shall mean any person(s) designated by the commercial cannabis use to act as the representative or agent of the commercial cannabis use in managing day-to-day operations with corresponding liabilities and responsibilities, and/or the person in apparent charge of the premises where the commercial cannabis use is located; evidence of management includes, but is not limited to, evidence that the individual has the power to direct, supervise, or hire and dismiss employees, controls hours of operations, creates policy rules, or purchases supplies. i. A conviction within the meaning of this sections means a plea or verdict of guilty or a conviction following a plea of nolo contendere or no contest. ii. A commercial cannabis use shall notify the Police Chief in writing of any disqualifying conviction described in subsection A(4)(d) for an owner or manager within 10 days of the conviction or of any pending charges for offenses described in subsection A(4)(d) for an owner or manager within 10 days of the filing of such charges by a prosecuting agency. iii. A commercial cannabis use may submit to the Police Chief a written request for a waiver of the prohibition against the convictions specified in subsection A(4)(d) with regard to a particular applicant, owner, or manager on the ground that such person’s involvement with the commercial cannabis use will not pose a threat to public safety. If the Police Chief determines that the requesting party has not submitted a preponderance of evidence to support the conclusion that there is no threat to public safety, the Police Chief shall deny the request, subject to the appeal procedures as set forth in Chapter 2.36. When responding to any request for a waiver under this section, and when determining whether a particular commercial cannabis activity with a particular applicant, owner, or manager will not pose a threat to public safety, the Police Chief will take into consideration: (1) employers are prohibited from using the types of “criminal history” documented in California Code of Regulations Title 2, Division 4.1, Chapter 5, Subchapter 2, Article 2, Section 11017; and (2) the California Department of Cannabis Control will deny a license based on convictions that are substantially related to the qualifications, functions, or duties of the business for which the application is made, including criteria set forth in California Code of Regulations Title 4, Division 19, Chapter 1, Article 3, Sections 15017 and 15035. e. The name and contact information for each manager of a proposed commercial cannabis use. If such information is not available at the time the commercial cannabis permit application is submitted, the commercial cannabis permit applicant shall submit such information to the City Manager as soon as it becomes available.
f. The proposed type of commercial cannabis use.
g. The proposed location of the commercial cannabis use, demonstrating compliance with the zoning and locational restrictions applicable to that commercial cannabis use.

5. Compliance with County Health Regulations and Requirements. Commercial cannabis uses shall be subject to permit requirements and regulations, including inspections, established by the Sonoma County Department of Health Services under the direction of the County Health Officer, or any other individual designated by the County Health Officer to act on their behalf.

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6. Development Standards.
a. Building Requirements. All structures used in commercial cannabis uses must comply with applicable building and fire code provisions as determined by the City’s building official and the fire department official, respectively. In addition, the site of the commercial cannabis use and all associated buildings must comply with all applicable sections of the Healdsburg Municipal Code, as determined by the community development director, prior to issuance of a commercial cannabis permit. Commercial cannabis uses that provide access to the public, including but not limited to employees, vendors, contractors, business partners, members, customers, or patients, shall meet local, state and federal requirements for accessibility, including accessible parking, paths of travel, seating, restrooms, and washing facilities. All facilities must be inspected by the City and fire department prior to issuance of a commercial cannabis permit. b. Emissions Control. All commercial cannabis uses shall utilize appropriate measures in operation and, where applicable, construction, to prevent the emission of dust, smoke, noxious gases, or other substances that have the potential to impact local or regional air quality. c. Hours of Operation. Hours of operation for commercial cannabis uses are established in sections below pertaining to each particular use category.
d. Operating Plan. All commercial cannabis uses shall submit as a part of the commercial cannabis permit application and thereafter maintain an operating plan that specifies the manner in which operations will be handled, and which details the number of employees and hours and days of operation. Any commercial cannabis use approved under this section shall be operated in conformance with the approved operating plan and shall meet any specific, additional operating procedures and measures as may be imposed as conditions of approval to ensure that the operation of the facility is consistent with protection of the health, safety and welfare of the community, customers, qualified patients, and primary caregivers, and will not adversely affect surrounding uses. Any change to the operating plan must be approved in writing by the City Manager or their designee.
e. Odor Control. Devices and techniques shall be incorporated in all commercial cannabis uses to ensure that odors from cannabis are not detectable off site. Commercial cannabis uses shall provide a sufficient odor-absorbing ventilation and exhaust system so that odor generated inside the facility that is distinctive to its operation is not detected outside of the facility, anywhere on adjacent property or public rights-ofway, on or about the exterior or interior common area walkways, hallways, breezeways, foyers, lobby areas, in any other areas available for use by common tenants or the visiting public, or within any other unit located inside the same building as the commercial cannabis use. As such, commercial cannabis uses must install and maintain the following equipment or any other equipment which the building official or designee determines has the same or better effectiveness:
i. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or
ii. An air system that creates negative air pressure between the commercial cannabis use’s interior and exterior so that the odors generated inside the commercial cannabis use’s facility are not detectable on the outside of the facility.
f. Air Quality. A commercial cannabis permit applicant shall provide a calculation of the business’s anticipated emissions of air pollutants. The commercial cannabis permit applicant shall also provide assurance that the business will comply with all best management practices established by the Northern Sonoma County Air Pollution Control District (NSCAPCD). No commercial cannabis permit shall be issued to any business that would exceed the thresholds of significance established by the NSCAPCD for evaluating air quality impacts under the California Environmental Quality Act for either operation or construction. After the receiving a commercial cannabis permit from the City, a commercial cannabis use must not exceed the thresholds of significance established by the NSCAPCD for evaluating air quality impacts under the California Environmental Quality Act for either operation or construction.

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) g. Hazardous Materials. To the extent that a commercial cannabis permit applicant intends to use any hazardous materials in its operations, the applicant shall provide a hazardous materials management plan that complies with all federal, state, and local requirements for management of such substances. “Hazardous materials” includes any hazardous substance regulated by any federal, state, or local laws or regulations intended to protect human health or the environment from exposure to such substances. After receiving a commercial cannabis permit for a commercial cannabis use that involves hazardous materials, the commercial cannabis use must comply at all times with its approved hazardous materials management plan.
h. Water Supply. If a proposed commercial cannabis use will occupy an existing building, the applicant shall demonstrate to the satisfaction of the City engineer and building official that water usage will not exceed that of the building’s intended occupancy class without additional review and prior approval by the City Manager or their designee. If a proposed commercial cannabis use will occupy a newly constructed building, the proposed use and construction design shall include all necessary devices and processes to ensure water usage will not exceed an operation typical of the zone in which it is proposed. After receiving a commercial cannabis permit, the commercial cannabis use must ensure that its water usage will not exceed that of the building’s intended occupancy class without additional review and prior approval by the City Manager or their designee.
i. Wastewater. A commercial cannabis permit applicant shall demonstrate to the satisfaction of the City engineer that sufficient wastewater capacity exists for the proposed use. To the extent the proposed commercial cannabis use will result in agricultural or industrial discharges to the City’s wastewater system, the applicant shall provide a plan for meeting all federal, state, and local requirements for such discharges. After receiving a commercial cannabis permit, the commercial cannabis use must ensure that its wastewater discharge does not exceed that of the approved occupancy class without additional review and prior approval by the City Manager or their designee.

7. Permit Requirements. In addition to state permitting requirements and the requirements of this section, including the requirement of a commercial cannabis permit, commercial cannabis uses shall be subject to the cannabis permit requirements as shown in Table 10 of Section 20.08.145, Table 12 of Section 20.08.155, and Table 15 of Section 20.08.195. In addition, all commercial cannabis uses must obtain a zoning clearance and pay applicable fees and taxes. Any violations of the Healdsburg Municipal Code or any other local, state, or federal law pertaining to the structure or property to be used for the commercial cannabis use must be cured prior to issuance of a commercial cannabis permit. The City Manager or their designee may design application forms specific to each permitted category and require inspections of proposed facilities before issuing a permit under this section. Commercial cannabis uses shall also be subject to permit requirements and regulations established by the Healdsburg Municipal Code and any additional requirements established by other subsections of this section, resolutions or ordinances of the City Council or a vote of the citizens of Healdsburg.

A City business license is required for commercial cannabis uses, pursuant to Chapter 5.04. a. Issuance and Term of Permit. Except as provided in subsection (B) of this section pertaining to the approval process for a commercial cannabis permit for cannabis storefront retailers and cannabis microbusinesses, commercial cannabis permits shall be issued to the operator by the City Manager or their designee if the applicant has paid all applicable fees and the commercial cannabis permit application is complete, demonstrates compliance with all applicable federal, state, and local requirements, and includes the information required by this section to the satisfaction of the City Manager, City engineer, building official, or their designee as applicable. Each commercial cannabis permit approved under this section, including commercial cannabis permits for cannabis storefront retailers and cannabis microbusinesses approved under subsection B, shall be valid for a period not to exceed three years from the date of permit approval and shall be subject to permit renewals, in accordance with subsection (A)(8) of this section. No property interest, vested right, or entitlement to receive a future permit to operate a commercial cannabis use shall ever inure to the benefit of a commercial cannabis permit holder. Commercial cannabis permits issued pursuant to this section are not transferable without prior City approval. Commercial cannabis permits may be issued with conditions. The City has no duty or obligation to issue commercial cannabis permits. The City may elect at any time to cease issuing commercial cannabis permits, including upon

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) receiving credible information that the federal government will commence enforcement measures against such businesses and/or local governments that permit them. b. Operator/Permit Holder Qualifications. Owners of commercial cannabis permittees must be twenty-one years of age or older.
c. Priority. When processing permit applications for commercial cannabis uses other than cannabis storefront retailers and cannabis microbusinesses, priority may be given to applications based on a City Council-adopted applicant selection process.
d. Issues of Significant Public Interest. In considering an application under this section for a commercial cannabis permit, the City Manager or their designee’s review shall be limited to compliance with this section and applicable federal, state, or local laws and regulations. The City Manager or their designee may, however, determine that an application does not meet the requirements for a particular license and that the license may remain unissued due to a significant public interest. “Significant public interest” includes, but is not limited to, potential health or safety impacts, potential conflicts with neighboring uses, unique characteristics of the proposed site, unique characteristics of the proposed operations, and/or other factors that, in the City Manager or their designee’s discretion, warrant rejection of application(s). e. Denial of Commercial Cannabis Permit. In addition to any other basis for denying a commercial cannabis permit set forth in this section, the City Manager or their designee may deny a commercial cannabis permit if the application contains any false or misleading statement or information, misrepresentation, or material omission or if the criminal history for any applicant, owner, or manager includes a felony, a felony or misdemeanor involving moral turpitude, or any crime involving the sale, possession for sale, manufacture, transportation, cultivation, or distribution of a controlled substance within the previous ten years.

8. Exercise and Renewal of Permit. Commercial cannabis permits shall be exercised only by the applicant and are not transferable to any other person or entity without prior written City approval. Permits shall expire upon termination of the business for which it was issued, or upon sale or unauthorized transfer of ownership of the cannabis commercial use. Any commercial cannabis permit that is abandoned for a period of six months shall automatically expire and shall become null and void with no further action required on the part of the City. For purposes of this section, “abandonment” shall mean the failure to initiate the activities described in the permit application or cessation of regular and continuous business operations. All commercial cannabis permits, including commercial cannabis permits for cannabis storefront retailers and microbusinesses, have a term of three years and must be renewed prior to expiration. A commercial cannabis use must apply for permit renewal no less than 60 days prior to the expiration of their current permit. Approval of permit renewals may be issued by the City Manager or their designee following demonstration by the operator/permittee of compliance with all requirements in effect. Review shall also include, but not be limited to, analyses of the following:
a. The commercial cannabis use has been conducted in accordance with this section and all applicable permit conditions, and all applicable state and local laws and regulations, and is in good standing with all state and local agencies.
b. Any and all code and/or commercial permit violations or complaints, including complaints related to nuisance activities, have been promptly addressed and cured to the satisfaction of the police chief and City Manager or their designee depending on the violation.
c. The commercial cannabis use for which the permit was approved has not been transferred without authorization to another owner or operator.
d. There are no outstanding violations of applicable laws, including the municipal code and state cannabis laws.
e. The business for which the permit was approved is current on all City taxes and fees due.

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) f. The application for renewal is complete, does not contain any false or misleading statement or information, misrepresentation, or material omission, and the criminal history for any owner or manager does not include a felony, a felony or misdemeanor involving moral turpitude, or any crime involving the sale, possession for sale, manufacture, transportation, cultivation, or distribution of a controlled substance within the previous ten years.

9. Health and Safety. Commercial cannabis uses shall not create a public nuisance of any kind or adversely affect the health or safety of the nearby residents or businesses by creating dust, light, glare, heat, noise, noxious gases, odor, smoke, traffic, vibration, unsafe conditions or other impacts, or be hazardous due to the use or storage of materials, processes, products, runoff or wastes.

10. Taxes. Commercial cannabis uses shall timely remit payment of all applicable taxes that may be enacted by the voters, including Chapter 3.32, or any additional regulations that may be promulgated in addition to all current applicable state and local taxes.

11. Security. The following security measures shall be adhered to by all commercial cannabis uses. Additional security measures may apply to particular commercial cannabis uses, as established in this section. a. A safety and security plan shall be required prior to permit issuance and shall be subject to review and approval by the City Manager or their designee. All safety and security plans shall be held in a confidential file exempt from disclosure as a public record pursuant to Government Code Section 6255(a).

Such plans shall include, at a minimum, information regarding implementation of the requirements of this section. The City Manager or their designee may require that additional information be included in the plan. Commercial cannabis permittees must adhere to the requirements of the approved safety and security plan at all times the commercial cannabis permit is active. b. Security cameras shall be installed with capability to record activity on the property, including parking lots, entry points to the property, and within all buildings and structures on the property, including all entrances, exits, perimeter windows and all areas where customers and employees may have access, apart from any restroom area. Security cameras shall record 24 hours a day, seven days a week. Additionally:
i. Areas where cannabis is grown, tested, cured, manufactured, or stored shall have camera placement in the room facing the primary entry door at a height which will provide a clear unobstructed view of activity without sight blockage from lighting hoods, fixtures, or other equipment. ii. Cameras shall also be placed at each location where weighing, packaging, transport preparation, processing, or labeling activities occur.
iii. At least one camera must be dedicated to record the access points to the secured surveillance recording area.
iv. At each entrance and exit to the facility, camera coverage must enable recording of customer facial features with sufficient clarity to determine identity. c. Surveillance video shall be kept for a minimum of 90 days in a format that can be easily accessed for viewing. Video must use standard industry format to support criminal investigations. Permit holders shall be required to cooperate with all law enforcement investigations and provide video footage related to any such investigation upon request. Failure to do so could result in revocation of a commercial cannabis permit. Motion-sensor lighting and alarms shall be required and shall be professionally installed and monitored to ensure the safety of persons and to protect the premises from theft. Alarm and surveillance systems shall be equipped with a failure notification system that provides prompt notification to the commercial cannabis use of any prolonged surveillance interruption and/or failure of the system. The commercial cannabis use shall notify the Healdsburg Police Department within twenty-four hours of a failure of the surveillance video system. The commercial cannabis use shall restore the surveillance video system within a time period as determined by the Police Chief or their designee. All surveillance equipment, records, and recordings must be stored in a secured area that is only accessible to management

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) staff. Permittees must keep a current list of all authorized employees who have access to the surveillance system and/or alarm system.
d. A permittee shall maintain up-to-date and current records and existing contracts on the premises that describe the location and operation of each security alarm system, a schematic of security zones, the name of the alarm installation company, and the name of any monitoring company. Off-site monitoring and video recording storage of the premises by the licensee or an independent third party is authorized if standards exercised at the remote location meet or exceed all standards for on-site monitoring. e. All security measures installed on site shall have the capability to remain fully operational during a sustained power outage.
f. With the exceptions of weapons and firearms possessed by on-duty law enforcement officers, weapons and firearms are prohibited on the property of a commercial cannabis use. g. Security measures shall be designed to ensure emergency access in compliance with fire safety standards.
h. All structures used for commercial cannabis uses shall have locking doors, with commercial-grade nonresidential locks, to prevent free access.
i. Security measures shall prevent individuals from remaining on the premises of the commercial cannabis use if they are not engaging in activities expressly related to the operations of the business. j. Security measures shall include a transportation plan that details the procedures established for the safe and secure transport of cannabis, cannabis products, and currency to and from the business, including the transfer of currency for City tax payments.
k. Except for live growing cannabis plants and products on display for sale at retail dispensaries during hours when the business is open to the public, all cannabis and cannabis products shall be stored in a secured and locked room, safe, or vault that meets approval of the Healdsburg police department. To the fullest extent possible, all cannabis and cannabis products shall be kept in a manner that prevents theft and loss, except for limited amounts used for the purposes of display or immediate sales. l. Duress alarm buttons shall be installed in all commercial cannabis use facilities with easy access by employees and all employees shall be properly trained in their use. m. Any security bars installed on the windows or the doors of the commercial cannabis use shall be installed only on the interior of the building.
n. Security personnel hired by the commercial cannabis use shall be subject to prior review and approval of the chief of police or their designee.
o. Each commercial cannabis use shall identify a liaison and provide the liaison’s contact information to the Healdsburg Police Department. The designated liaison shall be reasonably available to meet with the chief of police or their designee regarding security measures and operational issues.

12. Employees.
a. All employees of a commercial cannabis use must be twenty-one years of age or older. b. Each commercial cannabis use shall maintain on site a current register of all the employees currently employed by the commercial cannabis use and shall produce such register to the chief of police, designee, or any other City official authorized to enforce the Healdsburg Municipal Code for purposes of determining compliance with this section.

13. Weights and Measures. All scales used for commercial transactions shall be registered for commercial use and sealed by the Department of Agriculture/Weights and Measures.

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14. Tracking. Commercial cannabis uses and permittees shall comply with any track and trace program established by the City or by County or State agencies. Commercial cannabis uses must maintain records tracking all cannabis production and products and shall make all records related to the commercial cannabis use available to the City upon request. The City Manager or their designee may require commercial cannabis uses to comply with a County track and trace system if appropriate.

15. Police Notification. Commercial cannabis uses shall notify the Healdsburg Police Department within twenty-four hours of discovering any of the following:
a. Significant discrepancies identified during inventory. The level of significance shall be two percent of inventory or per state regulations, whichever is stricter. b. Diversion, theft, or loss, or any criminal activity involving the commercial cannabis use or any agent or employee of the commercial cannabis use.
c. Any other breach of security.

16. Inspections. Commercial cannabis uses shall be subject to inspections by appropriate local and state agencies, including but not limited to the Departments of Health Services, Agriculture/Weights and Measures, and the City of Healdsburg. Commercial cannabis uses shall be inspected at random times for conformance with the Healdsburg Municipal Code and permit requirements. Unless otherwise allowed under the law, the inspection shall be conducted during regular business hours. If interference in the performance of the duty of the agency having jurisdiction occurs, the agency may request that the City temporarily suspend the permit and order the cannabis operation to immediately cease operations.

17. Restriction on Alcohol Sales. No alcoholic beverages may be sold, dispensed, or consumed on or about the premises of any commercial cannabis use. This section shall not apply to responsible after-hours consumption by employees which does not violate any state or local law or regulation. After-hours consumption, however, is not permitted at any cannabis retail dispensary or microbusiness.

18. Appeal of Decision on Commercial Cannabis Permit. Within 10 days of a decision by the City Manager or their designee to approve or disapprove a commercial cannabis permit application for a commercial cannabis use other than a cannabis storefront retailer or cannabis microbusiness, or a decision by the City Manager or their designee to approve or deny a commercial cannabis permit renewal application, an applicant or interested party may appeal the approval or disapproval by following the procedures for appeals set forth in Chapter 2.36 of the Healdsburg Municipal Code. The appeal hearing shall be set and conducted in accordance with Chapter

2.36. 19. Liability and Indemnification. To the fullest extent permitted by law, any actions taken by a public officer or employee under the provisions of this section shall not become a personal liability of any public officer or employee of the City. To the maximum extent permitted by law, the permittees under this section shall defend (with counsel acceptable to the City), indemnify and hold harmless the City of Healdsburg, the Healdsburg City Council, and its respective officials, officers, employees, representatives, agents and volunteers (hereafter collectively called “City”) from any liability, damages, actions, claims, demands, litigation, loss (direct or indirect), causes of action, proceedings, or judgments (including legal costs, attorneys’ fees, expert witness or consultant fees, City attorney or staff time, expenses or costs) (collectively called “action”) against the City to attack, set aside, void or annul any cannabis related approvals and actions, and strictly comply with the conditions under which such permit is granted, if any. The City may elect, in its sole discretion, to participate in the defense of said action and the commercial cannabis permittee shall reimburse the City for its reasonable legal costs and attorneys’ fees. Permittees under this section shall be required to agree to the above obligations in writing.

B. Standards for Cannabis Storefront Retailers and Cannabis Microbusinesses.

1. Purpose. This subsection provides the locational, operational, and permit standards for any commercial cannabis storefront retailers and cannabis microbusinesses within the City in order to promote the health, safety, and general welfare of its residents and businesses. The standards in this subsection shall be in addition

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2. Applicability. Commercial cannabis storefront retailers and cannabis microbusinesses with retail activity (collectively, a “retail dispensary,” “retail dispensaries,” “cannabis retail dispensary,” or “cannabis retail dispensaries”) shall be permitted only in compliance with the requirements of this subsection B, all other applicable requirements of subsection A of this section (Standards for All Commercial Cannabis Uses), and all other applicable requirements of the Healdsburg Municipal Code, including Chapter 3.32 (Cannabis Business Tax), and state and county agencies. The regulations and requirements of this subsection B do not apply to nonstorefront cannabis retailers that only engage in the retail sale by delivery of medicinal cannabis to qualified patients and primary caregivers, which are addressed under subsection D of this section (Non-Storefront Commercial Medicinal Cannabis Retail Sales).

3. Permit Requirements and Application Procedure. A commercial cannabis permit, issued in addition to any applicable permit issued by the Sonoma County Department of Health Services, shall be required to operate a cannabis retail dispensary within the City of Healdsburg. Cannabis retail dispensaries shall also be subject to permit requirements and regulations established by the state and those established by the City Council through resolution or ordinance, or by a vote of the citizens of Healdsburg. Commercial cannabis permits for retail dispensaries shall be considered and issued according to the following procedure:
a. The City Council, following an open application period and review of applications by City staff and recommendations by the City Manager or designee, shall consider commercial cannabis permit applications for retail dispensaries meeting all minimum qualifications at a properly noticed public hearing and, in its sole discretion, may approve the issuance of commercial cannabis permits for retail dispensaries.
b. The City Manager or their designee may adopt such forms, fees, and procedures as are necessary to implement this subsection with respect to the selection, investigation process, renewal, revocation, and suspension of commercial cannabis permits for retail dispensaries. Such procedures may include a priority ranking system, and appointment of a staff review panel for retail dispensary permits. c. Each approved commercial cannabis permit for a retail dispensary shall be valid for a period not to exceed three years from the date of permit issuance and shall be subject to permit renewals in accordance with subsection (A)(8) of this section.

4. Limit on Number of Retail Dispensaries. No more than two retail dispensaries shall be permitted within the City at any one time. All facilities authorized under this subsection must maintain a storefront which is open to the public. This limit is inclusive of cannabis microbusinesses with a Type 12 state license operating a retail dispensary.

5. Specific to Cannabis Microbusinesses. Any commercial cannabis permit issued to a microbusiness with a Type 12 state license, or a state cannabis license type subsequently established, that contains a retail operation, will be subject to all commercial cannabis permit procedures and requirements for cannabis retail dispensaries under this section. Any commercial cannabis permit issued to a Type 12 microbusiness with a manufacturing component will also be subject to the applicable requirements of subsection C of this section (Standards for Manufacturing, Testing, Storage, and Distribution of Commercial Cannabis), Cultivation shall not be an allowed component of a Type 12 microbusiness license.

6. Location Requirements. Unless otherwise allowed under state law and as modified by this subsection:
a. A retail dispensary which is open to the public may only be located within the allowed zoning district(s) under Table 10 of Section 20.08.145, Table 12 of Section 20.08.155, and Table 15 of Section 20.08.195. b. A retail dispensary shall not be established on any parcel containing a dwelling unit, or immediately abutting (sharing a common property line with) a residential zoning district. Residentially zoned does not include mixed-use zoning for purposes of this section.

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Packet Pg. 97
Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) c. A retail dispensary shall not be established within five hundred feet from any youth-oriented property. d. A retail dispensary shall not be established within two hundred and fifty feet of any public park (with the exception of West Plaza Park and 3 North Street), public playground, or public library. e. The distances listed above shall be measured between the nearest entrance (ingress/egress to commercial cannabis establishment, e.g., front door/public entry or service door) of the retail dispensary and the nearest property line of the parcel(s) on which the youth-oriented property, public park, public playground, or public library is located, along the shortest route intended and available for public passage (any public road, street, or highway, including footpaths and bicycle paths, or other route provided for the passage of people).

7. Operating Standards. In addition to standards contained in subsection A of this section (Standards for All Commercial Cannabis Uses), the following are the minimum development criteria and operational standards applicable to any cannabis retail dispensary:
a. The building in which the retail dispensary is located shall comply with all applicable local, state and federal rules, regulations, and laws including, but not limited to, building codes and accessibility requirements.
b. The retail dispensary shall provide adequate security on the premises pursuant to subsection (A)(11) of this section, and any additional requirements in this section, including lighting and alarms, to ensure the safety of persons and to protect the premises from theft. The applicant shall submit a safety and security plan for review and approval by the Healdsburg police department. The safety and security plan will remain confidential.
c. The site plan, circulation, parking, lighting, facility exterior, and any signage shall be subject to all underlying zoning requirements, director review, and approval. The community development director may waive this requirement where the applicant can demonstrate that existing facilities, including parking, lighting, and landscaping, already meet the requirements of this section. d. No exterior signage or symbols shall be displayed which advertise the availability of cannabis using drug-related symbols which are attractive to minors or which are carried out in a manner intended to encourage persons under twenty-one years of age to consume cannabis or cannabis products, nor shall any such signage or symbols be displayed on the interior of the facility in such a way as to be visible from the exterior.
e. No person shall be allowed onto the premises of a retail dispensary unless they are an employee, customer, vendor or contractor of the retail dispensary, primary caregiver, qualified patient, or employee of an agency having jurisdiction to monitor or investigate the terms of regulatory compliance by the retail dispensary. If the retailer dispensary denies entry for monitoring and inspection to any employee of an agency having such jurisdiction, the facility may be closed and the commercial cannabis permit may be revoked, modified, or suspended. In strict accordance with California Health and Safety Code Section 11362.5 et seq., no person under the age of eighteen shall be allowed on a medical cannabis retail site unless allowed under state law, and no person under the age of twenty-one shall be allowed on a nonmedical cannabis retail site pursuant to California Business and Professions Code Section 26140. All persons entering the site, except those representing a regulatory agency, shall present a photo identification. A doctor’s recommendation shall not be required for customers of a nonmedical cannabis retail dispensary. The operating plan submitted as a part of the commercial cannabis permit application shall specify how this provision will be complied with and enforced. f. No retail dispensary shall hold or maintain a license from the State Department of Alcoholic Beverage Control to sell alcoholic beverages or operate a business that sells alcoholic beverages. No alcoholic beverages shall be allowed or consumed on the premises of a retail dispensary. g. No cannabis retail dispensary shall conduct or engage in the commercial sale of any product, good or service unless otherwise approved by the commercial cannabis permit. A retail dispensary may sell live

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) starter (immature) plants, clones, and seeds from qualified nurseries, but shall not cultivate or clone cannabis. A retail dispensary may sell manufactured cannabis, including edible products, and vaporizing devices if allowed by a permit issued by the Department of Health Services. Not more than five percent of the retail dispensary area, up to a maximum of two hundred square feet, may be devoted to the sale of incidental goods for personal cannabis cultivation and use or promotional items such as clothing, hats, or posters.
h. No cannabis shall be consumed on the premises of a retail dispensary. For purposes of complying with this requirement, the term “premises” includes the physical building and leasehold space, as well as any accessory structures, parking areas, sidewalks, driveways, or other immediate surroundings. i. No retail dispensary may increase in size without amending its commercial cannabis permit, as applicable. The size limitation shall be included in the operational plan required by subsection (A)(6)(d) of this section.
j. A retail dispensary shall not have a physician on site to evaluate patients for medical cannabis. k. Parking required by Chapter 20.16 HMC, Article VIII, shall be provided on site. l. Retail dispensaries’ operating hours shall be limited to Monday through Sunday, nine a.m. to nine p.m. m. If the permittee holds a Type 12 microbusiness license, manufacturing hours shall be established and approved through the commercial cannabis permit process. Retail hours for a Type 12 microbusiness shall be limited to Monday through Sunday, nine a.m. to nine p.m. n. Delivery. Delivery of cannabis is allowed by retail dispensaries. Delivery functions must be included in the commercial cannabis permit application and approved as a discrete function. Delivery functions shall be in conformance with state cannabis laws and all of the following:
i. Deliveries can only be conducted between the hours of nine a.m. to nine p.m. ii. Deliveries shall be made by an employee of the licensed retail dispensary and said employee shall carry with him/her at all times a physical copy of the city commercial cannabis permit and business license and state cannabis license.
o. Record Keeping. A retail dispensary shall maintain records in accordance with the state and local requirements of its license type. The retail dispensary shall keep accurate records, follow accepted cash handling practices, and maintain a general ledger of cash transactions. The retail dispensary shall allow the City to access the books, records, accounts, and all data relevant to its operations for purposes of conducting an audit or examination to determine compliance with the municipal code, administrative regulations, conditions of approval, and applicable laws. Books, records, accounts, and all relevant data shall be produced no later than twenty-four hours after receipt of the City’s request. p. Required Signage. The following signs, in measurements of not less than eight by ten inches, shall be clearly and legibly posted in a conspicuous location inside the retail dispensary where they will be visible to customers in the normal course of a transaction, stating:
i. “The dispensing of cannabis without a state license is illegal.” ii. “Use or consumption of cannabis on this premises or property is prohibited.” iii. For retail dispensaries: “All visitors to this premises must be at least 21 years of age, or, at least 18 years of age and able to show a government issued medical cannabis ID card in accordance with California Health and Safety Code Section 11362.7 et seq.” C. Standards for Manufacturing, Testing, Storage, and Distribution of Commercial Cannabis.

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Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading)

1. Permits for commercial manufacturing, testing, storage, and distribution of cannabis shall be issued by the City Manager or their designee according to the requirements of subsection (A)(7) of this section and this subsection (C) and may include conditions of approval.

2. Additional Operating Standards. In addition to the requirements of subsection (A) of this section, any base zone requirements, and all state cannabis laws and regulations, commercial cannabis uses permitted under this subsection shall also comply with the following operational standards:
a. Facilities shall not be open to the general public.
b. Extraction Processes. Cannabis manufacturers shall utilize only extraction processes that are (i) solvent free or that employ only nonflammable, nontoxic solvents that are recognized as safe pursuant to the federal Food, Drug and Cosmetic Act, and/or (ii) use solvents exclusively within a closed loop system that meets the requirements of the federal Food, Drug and Cosmetic Act, including use of authorized solvents only, the prevention of off-gassing, and certification by a California licensed engineer. c. No closed loop systems shall be utilized without prior inspection and approval of the City’s building and fire code officials.
d. Standard of Equipment. Extraction equipment used by the manufacturer must be listed or otherwise certified by an approved third-party testing agency or licensed professional engineer and approved for the intended use by the City’s building and fire code officials. e. Annual Recertification Required. Extraction equipment used by the manufacturer must be recertified annually and a report by a licensed professional engineer on the inspection shall be maintained on site. f. Food Handler Certification. All owners, employees, volunteers, or other individuals who participate in the production of edible cannabis products must be state certified food handlers. The valid certificate number of each such owner, employee, volunteer, or other individual must be on record at the manufacturer’s facility where that individual participates in the production of edible cannabis products. g. Edible Product Manufacturing. Commercial cannabis uses that sell or manufacture edible medicinal cannabis products shall obtain a Sonoma County health permit. Permit holders shall comply with Health and Safety Code Section 13700 et seq. and Sonoma County health permit requirements. These requirements provide a system of prevention and overlapping safeguards designed to minimize foodborne illness, ensure employee health, demonstrate industry manager knowledge, ensure safe food preparation practices, and delineate acceptable levels of sanitation for preparation of edible products. h. Operating hours shall be subject to permit.

3. Permit Requirements and Restrictions. The following limits on permits for commercial cannabis uses engaging in manufacturing, testing, storage, and distribution of commercial cannabis apply:
a. Permits may be issued among the allowable types identified in Table 15 of Section 20.08.195.

Permittees who obtain state licenses for both adult (recreational) and medical uses for the same premises shall require one commercial cannabis permit from the City. b. No facility permitted under this subsection shall be located on any parcel containing a dwelling unit, nor within 500 feet of any youth-oriented property, or immediately abutting (sharing a common property line with) a residential zoning district.
c. The distances listed above shall be measured between the nearest entrance (ingress/egress to commercial cannabis establishment, e.g., front door/public entry or service door) of the commercial cannabis use and the nearest property line of the parcel(s) on which the youth-oriented property is located, along the shortest route intended and available for public passage (any public road, street, or highway, including footpaths and bicycle paths, or other route provided for the passage of people).

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Packet Pg. 100 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading)

4. Manufacturing shall be subject to any additional permitting and inspection requirements of the Sonoma County health official, per subsection (A)(5) of this section.

D. Standards for Non-Storefront Commercial Medicinal Cannabis Retailers.

1. Purpose. This subsection provides the locational, operational, and permit standards for any non-storefront commercial medicinal cannabis retailer within the City in order to promote the health, safety, and general welfare of its residents and businesses.

2. Permits for non-storefront commercial medicinal cannabis retailers shall be issued by the City Manager or their designee according to the requirements of subsection (A)(7) of this section. A non-storefront commercial medicinal cannabis retailer that engages only in the retail sale by delivery of medicinal cannabis to qualified patients and primary caregivers shall comply with the following requirements and regulations:
a. The deliveries must be conducted in accordance with any relevant state cannabis laws, this municipal code, any applicable local laws in the delivery location, and any conditions imposed upon the permittee. b. The non-storefront commercial medicinal cannabis retailer must keep in place standard operating procedures that ensure the safety and security of those individuals engaging in delivery and the security of all cannabis being delivered, including procedures to prevent diversion. c. Upon arrival at the delivery address and prior to transferring any cannabis or cannabis products, the delivery person must verify and confirm that the identity of the recipient is the same as the person who requested the delivery and that the person is either a qualified patient or primary caregiver. d. A non-storefront commercial medicinal cannabis retailer shall report to the City and local law enforcement any vehicle accidents, diversions, losses, or other reportable incidents such as thefts or suspicious activity, that occur during transportation and delivery, within 24 hours. e. The delivery person shall keep a delivery manifest that includes the following information:
i. All cannabis that will be transported, accurately inventoried; ii. Departure date and approximate time of departure;
iii. Arrival date and approximate time of arrival;
iv. Name, address, and local license number of the originating non-storefront commercial cannabis medicinal retailer;
v. Name and address of the individual requesting the delivery; vi. Delivery vehicle make, model, and license plate number; and vii. Name and signature of the individual transporting the cannabis. f. A non-storefront commercial medicinal cannabis retailer must at all times maintain any and all state licenses required by state cannabis laws.

3. Permit Requirements and Restrictions. The following limits on permits for a non-storefront commercial medicinal cannabis retailer apply:
a. Permits may be issued among the allowable types identified in Table 15 of Section 20.08.195. b. No facility permitted under this subsection shall be located on any parcel containing a dwelling unit, nor within 500 feet of any youth-oriented property, or immediately abutting (sharing a common property line with) a residential zoning district.

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Packet Pg. 101 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) c. The distances listed above shall be measured between the nearest entrance (ingress/egress to commercial cannabis establishment, e.g., front door/public entry or service door) of the commercial cannabis use and the nearest property line of the parcel(s) on which the youth-oriented property is located, along the shortest route intended and available for public passage (any public road, street, or highway, including footpaths and bicycle paths, or other route provided for the passage of people).

E. Enforcement.

1. Public Nuisance. The violation of this section, any regulation promulgated under this section, and the condition of any permit issued under this section is hereby declared to be a public nuisance and may be abated pursuant to the provisions of Chapter 1.12 HMC.

2. The provisions of this section, any regulation promulgated under this section, and the condition of any permit issued under this section may be enforced by the City by any means provided for in Chapter 1.12 of this Code in addition to any and all other remedies, civil, equitable or criminal, afforded to the City under the law. Violations of this section, any regulation promulgated under this section, and the condition of any permit issued under this section are punishable as misdemeanors. Each day of engaging in any of the prohibited activities shall constitute a separate offense.

3. In addition to any other remedies available to the City under the law, the City may revoke, modify, or suspend any commercial cannabis permit, following notice and opportunity for a hearing, based on any one of, or combination of, the conditions set forth below:
a. A permittee ceases to meet any of the minimum qualifications listed in this section or has failed to comply with the requirements of this section or any conditions of approval of the permit. b. A permittee’s state license for the commercial cannabis use is revoked, terminated, suspended, or not renewed. In the case of a suspension, the City shall not reinstate the commercial cannabis permit until documentation is received showing that the state license is eligible to be reinstated or reissued. It shall be within the City’s discretion whether to reinstate any permit. c. The commercial cannabis use has not been in regular and continuous operation for six consecutive months.
d. State law permitting the commercial cannabis use for which the permit was issued is amended or repealed resulting in the prohibition of such use, or the City receives credible information that the federal government will commence enforcement measures against such businesses and/or local governments that permit them.
e. Circumstances under which the permit was granted have changed and the public health, safety, and welfare require the suspension, revocation, or modification. f. The permit was granted or renewed, in whole or in part, on the basis of a misrepresentation or material omission in the permit or renewal application, or the permittee made a misrepresentation or material omission in any submittal required after the issuance of the commercial cannabis permit. g. The permittee is not current on City taxes or fees.
h. The permittee has violated the Municipal Code, this section, any regulation promulgated under this section, and/or any condition of a commercial cannabis permit issued under this section, and/or has otherwise created a public nuisance pursuant to Civil Code sections 3479 and 3480.

4. The following procedures apply to the revocation, modification, or suspension of a commercial cannabis permit:
a. If, as the result of an investigation, the City determines that one or more of the conditions contained in subsection (E)(3) of this section applies to a commercial cannabis permit granted in accordance with the provisions of this section, the City Manager shall schedule a public hearing before the City Council to consider the revocation, modification, or suspension of the commercial cannabis permit.

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Packet Pg. 102 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) b. Written notice of the date, time, place and purpose of such public hearing shall be served to the following parties, as applicable:
i. The owner of the property for which the commercial cannabis permit was granted; ii. The person or entity to which the commercial cannabis permit was issued, as reflected on the permit and permit application; and
iii. Any person or entity who has been identified as an owner of the commercial cannabis use that is subject to the proposed commercial cannabis permit revocation, modification, or suspension. c. Such notice shall be provided by registered mail, postage prepaid, return receipt requested, not less than 10 days prior to the date of such hearing. Notice may also be posted at the entrance to the commercial cannabis use that is subject to the proposed commercial cannabis permit revocation, modification, or suspension.
d. At the public hearing, each party shall have the right to call and examine witnesses and introduce exhibits. The hearing need not be conducted according to technical rules relating to evidence and witnesses.

The City Council has the right to ask questions and the discretion to exclude evidence if its tendency to prove or disprove an issue is substantially outweighed by the likelihood that its admission will not assist in proving or clarifying a material issue or consume an undue amount of time. Evidence offered during the hearing must be credible and relevant in the estimation of the City Council, but formal rules governing the presentation and consideration of evidence shall not apply. Evidence presented by staff or other officials of the City tending to support an administrative decision shall constitute prima facie evidence that the decision was justified. The burden of proof shall then be on the aggrieved party or other affected person challenging the decision to refute such evidence. The standard to be applied for meeting this burden shall be a preponderance of evidence.
e. Following a public hearing, the City Council may revoke, modify, or suspend the commercial cannabis permit after finding one or more of the conditions set forth in subsection (E)(3) of this section.

5. The election of any particular enforcement remedy shall in no way act as a waiver of the pursuit of any other available enforcement remedy. The City may pursue any enforcement remedy, or combination of enforcement remedies, permitted by law to achieve compliance with this section, any regulation promulgated under this section, and the condition of any permit issued under this section.

Section 7. Section 20.20.100 Marijuana cultivation, possession and use shall be amended as follows:

20.20.100 Cannabis cultivation, possession and use
The provisions of this section are established to permit medical and nonmedical cannabis use and cultivation by individuals meeting the specific requirements of qualified caregiver, patient, or adult individual over 21 years of age, for purposes of medical and nonmedical use of cannabis in compliance with state law; to establish reasonable limits on the cultivation, distribution, sale and use, possession and growth of marijuana for medical and nonmedical purposes within the City of Healdsburg; to protect children, residents and visitors and the environment from potential dangers; and to prohibit commercial cannabis cultivation businesses within the City cannabis for medical purposes by a qualified caregiver or patient, or adult nonmedical user, as defined by state law and subject to the provisions established herein.

A. Definitions. As used herein, the following definitions shall apply:

City. The City of Healdsburg.

Fully enclosed and secure structure. A space within a dwelling unit that complies with the California Building Code, as adopted in the City (“CBC”); or, if exempt from the permit requirements of the CBC, an accessory structure, on a lot or site containing a dwelling unit, having a complete roof and enclosure supported by connecting

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Packet Pg. 103 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) walls extending from the ground to the roof, a foundation, slab or equivalent base to which the floor is secured by bolts or similar attachments, is secure against unauthorized entry, and is accessible only through one or more lockable doors. In order to qualify as a fully enclosed and secure structure, the walls and roofs must be constructed of solid materials that cannot be easily broken through, such as two-inch by four-inch or thicker studs overlaid with three-eighths-inch or thicker plywood or the equivalent. Plastic sheeting, regardless of gauge, or similar products, are not considered solid materials.

Indoors. Within a private residence or a fully enclosed and secure structure on the grounds of a private residence.

Cannabis nursery. A facility that produces only clones, immature plants, seeds, and other agricultural products used specifically for the planting, propagation, and cultivation of cannabis.

Medical cannabis cultivation. Cultivation of cannabis by a qualified patient or primary caregiver cultivated outdoors in conformance with this section.

Mixed-light. The cultivation of cannabis using a combination of natural and supplemental artificial lighting.

Nonmedical cannabis. Cannabis that is intended to be used for nonmedical and/or recreational purposes pursuant to California Health and Safety Code Section 11362.1 et seq., as those sections may be amended from time to time.

Nonmedical cannabis cultivation. Cultivation of cannabis that is intended to be used for nonmedical and/or recreational purposes pursuant to California Health and Safety Code Section 11362.1 et seq., as those sections may be amended from time to time.

Outdoor. Any location within the City, on private grounds, that is exposed to the open air not within an enclosed and secure residential structure or private residence.

Private residence. A house, an apartment unit, a mobile home, or other similar dwelling unit.

Property. A parcel of land upon which is built or placed a private residence.

Solid fence. A fence constructed of substantial material, such as wood or metal, that prevents viewing the contents from one side to the other side of the fence.

B. Cultivation, Possession and Use of Cannabis.

1. Outdoor Cultivation. Cultivation of cannabis is prohibited in all zoning districts of the City, except when such cultivation occurs on property with a private residence and in accordance with the following reasonable regulations:
a. Nonmedical Outdoor Cultivation Prohibited. It is hereby declared to be unlawful and a public nuisance for any person owning, leasing, occupying, or having charge or possession of any lot or site within any zoning district in the City of Healdsburg to cause or allow such lot or site to be used for the outdoor cultivation of cannabis plants for nonmedical (recreational) use. b. Medical Outdoor Cultivation Restricted. It is hereby declared to be unlawful and a public nuisance for any person owning, leasing, occupying, or having charge or possession of any property including any lot or site, building, shed, or accessory structure within any zoning district in the City of Healdsburg to cause or allow such lot or site property to be used for the outdoor cultivation of more than three cannabis plants by a primary caregiver or a qualified patient as defined in Health and Safety Code Section 11362.7, as amended.

2. Indoor Cultivation. Indoor cultivation of cannabis is prohibited in all zoning districts of the City, except when such cultivation occurs on property with a private residence and in accordance with the following reasonable regulations:

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Packet Pg. 104 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) a. It is hereby declared to be unlawful and a public nuisance for any person owning, leasing, occupying, or having charge or possession of any dwelling unit within any zoning district in the City of Healdsburg to cause or allow for the indoor cultivation of more than six cannabis plants. b. The limit of six plants per residence for nonmedical cannabis cultivation shall apply regardless of how many adult individuals reside at the private residence. c. Indoor cultivation may only occur within a private residence or fully enclosed and secure private residential structure. Attached and detached garages designed and intended primarily for the use of vehicle parking are not considered private residences or fully enclosed and secure structures and may not be used for the cultivation of cannabis. Indoor cultivation may only occur in a locked space that is not visible by normal unaided vision from a public place.

3. Restriction on Location of Cultivation. No cannabis cultivation or storage of cannabis products or preparation of cannabis products, whether indoor, outdoor, or through use of “mixed-light,” is permitted within any nonresidential structure, or within 300 feet of any hospital, school, church, park or playground, child care center, recreation center or youth center. The distance between any cannabis cultivation and any hospital, school, church, park or playground, child care center, recreation center or youth center shall be measured in a straight line, without regard to intervening structures, from (a) with regard to outdoor cultivation, the closest property line of the lot or site on which the outdoor cultivation is occurring and (b) with regard to indoor cultivation, the closest exterior wall of the fully enclosed and secure structure in which the indoor cultivation is occurring, to the closest property line of the lot or site containing the hospital, school, church, park or playground, child care center, recreation center or youth center. This restriction does not apply to indoor cultivation within a private residence that complies with the terms and restrictions on indoor cultivation as set forth in this section.

4. Restriction on Possession or Use.
a. It shall be unlawful for any individuals under 21 years of age to possess, process, transport, purchase, obtain or give away cannabis or cannabis products.
b. Individuals 21 years of age or older may possess, process, transport, purchase, obtain or give away

28.5 grams (approximately one ounce) or less of nonconcentrated cannabis and eight grams or less of concentrated cannabis, subject to compliance with all provisions of this section and all provisions of state law, as may be amended.
c. Smoking or ingesting of marijuana shall not be permitted within any public place within the City of Healdsburg, or within 1,000 feet of a school or in any location where tobacco is prohibited. d. It shall be unlawful for any individuals to possess, process, purchase, obtain, store, and/or prepare cannabis or cannabis products intended for smoking or consumption within the City except in strict compliance with the provisions of this section.

C. Standards for Indoor and Outdoor Cultivation of Cannabis.

1. An adult user, qualified patient or primary caregiver shall reside in the dwelling unit on the lot or site upon which cannabis is being cultivated and such dwelling unit must be the adult user’s, qualified patient’s or primary caregiver’s primary place of residence. No person other than an individual over 21 years of age may engage in the cultivation of nonmedical cannabis.

2. If the cultivation occurs in a dwelling unit, the dwelling unit shall retain at all times legal and functioning cooking, sleeping and sanitation facilities with proper egress.

3. Cannabis cultivation is permitted only on a lot or site with a dwelling unit. The primary purpose of the property on which the nonmedical cultivation occurs shall be as a private residence.

4. Outdoor cannabis plants shall be located a minimum of five feet from property lines.

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Packet Pg. 105 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading)

5. Outdoor cannabis plants shall be located only in the rear yard of a lot or site.

6. Outdoor cannabis plants are not permitted to be located in front yards of a lot or site.

7. Outdoor cannabis plants are limited to a maximum height of six feet above grade.

8. Indoor grow lights shall not exceed 1,200 watts and comply with the California Building, Electrical, Plumbing and Fire Codes as adopted by the City. Gas products (CO2, butane, propane, natural gas, etc.) or generators may not be used indoors.

9. The residence or fully enclosed and secure permitted structure used for the cultivation of cannabis must install a filtered ventilation system that will prevent cannabis plant odors from exiting the interior of the structure and that shall comply with the California Mechanical Code Section 402.3, Mechanical Ventilation, as amended. The filtered ventilation system must be approved by the building official and installed prior to commencing cultivation.

10. A fully enclosed and secure residential accessory structure used for the cultivation of nonmedical cannabis shall be located in the rear yard area of the property and must maintain a minimum 10-foot setback from any property line. The yard where the fully enclosed and secure structure is maintained must be enclosed by a solid fence at least six feet in height.

11. Volatile solvents as defined in State Health and Safety Code Section 11362.3(d) or generators are strictly prohibited and may not be used for the cultivation, manufacturing or processing of cannabis.

12. A portable fire extinguisher, that complies with the regulations and standards adopted by the California State Fire Marshal and other applicable law, shall be kept in the area of cultivation at all times in a location that is easily accessible.

13. The private residence or the fully enclosed and secure structure shall comply with all provisions of California Building Standards Code (Title 24, California Code of Regulations) as adopted and amended by the City of Healdsburg.

14. Adequate mechanical locking or electronic security systems must be installed to ensure the indoor nonmedical cannabis cultivation is secure from the entry or access of any person under 21 years of age and from theft or vandalism, prior to the commencement of indoor nonmedical cultivation.

15. Indoor cultivation of marijuana shall only take place on impervious surfaces.

16. From a public right-of-way, there shall be no exterior evidence of nonmedical cannabis cultivation occurring on the property.

17. Public Nuisance Prohibited. It is hereby declared to be unlawful and a public nuisance for any person owning, leasing, occupying, or having charge or possession of any lot, site, dwelling unit, and/or fully enclosed and secure structure within the City to create a public nuisance in the course of cultivating marijuana plants or any part thereof in any location, indoor or outdoor. A public nuisance may be deemed to exist, if such activity produces: (a) odors which are disturbing to people of normal sensitivity residing or present on adjacent or nearby property or areas open to the public, (b) repeated responses to the parcel from law enforcement officers, (c) repeated disruption to the free passage of persons or vehicles in the neighborhood, (d) excessive noise which is disturbing to people of normal sensitivity on adjacent or nearby property or areas open to the public, or (e) any other impacts on the neighborhood which are disruptive of normal activity in the area.

18. Nothing herein shall be construed or interpreted to amend, repeal, affect, or restrict the ability of an individual or private entity to prohibit or restrict any of the actions or conduct otherwise permitted under this section.

D. Prohibited Activities and Uses. The following activities and uses are prohibited within the City of Healdsburg:

1. Mixed-light cultivation of cannabis (e.g., state-licensed cultivation sites).

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Packet Pg. 106 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading)

2. Cannabis nurseries.

3. “Tasting room” type facilities, including but not limited to the offering or providing of free samples of cannabis at a retail facility.

E. Enforcement.

1. Public Nuisance. The violation of this section is hereby declared to be a public nuisance and may be enforced pursuant to the provisions of Chapter 1.12 HMC.

2. Seizure and Destruction of Cannabis. Except as otherwise expressly stated in this section, all cannabis seized by the City police in the enforcement of this article shall be seized, retained and destroyed in the same manner and subject to the same procedures as are provided in California Health and Safety Code Sections 11472 through 11479, for cannabis possessed in violation of Division 10 of the Health and Safety Code. The requirements in Health and Safety Code Section 11479(b), prescribing the conditions that must be satisfied before seized cannabis may be destroyed without a court order, as applied by this section, are revised as follows:

Photographs have been taken which reasonably depict the total number of mature and immature plants to be destroyed and the location where they were growing immediately prior to their seizure.

3. Right of Entry. The code enforcement officer, building official, planning director, chief of police, fire inspector, or a designee is authorized to enter upon and inspect private properties to ensure compliance with the provisions of this section. Reasonable advance notice of any such entry and inspection shall be provided and, before entry, consent shall be obtained in writing from the owner or other person in lawful possession of the property. If consent cannot for any reason be obtained, an inspection warrant shall be obtained from a court of law prior to any such entry and inspection. In those cases where consent is denied, the City may seek to recover the costs it incurs in obtaining a warrant from the property owner and/or person in lawful possession of the property.

4. Abatement. The City attorney, in the name of and on behalf of the City and/or the people of the City, may bring a civil action in a court of competent jurisdiction to enforce any provision of this section, or to restrain or abate any violation of the provisions of this section as a public nuisance pursuant to the procedures set forth in Chapter 1.12 HMC.

5. Violation. Cultivation of cannabis that does not comply with this section constitutes a violation of the zoning ordinance and is subject to the penalties and enforcement as provided in Chapter 20.04 HMC.

6. Penalties Not Exclusive. The remedies and penalties provided herein are cumulative, alternative and nonexclusive. The use of one does not prevent the use of any others and none of these penalties and remedies prevent the City from using any other remedy at law or in equity which may be available to enforce this section or to abate a public nuisance.

F. Liability. The provisions of this section shall not be construed to protect the property owner(s) of record for property associated with the cultivation of cannabis, or their lessees, tenants or participants in the cultivation of cannabis, from prosecution pursuant to any laws that prohibit the cultivation, sale and/or possession of cannabis. In particular, the possession or cultivation of cannabis remains illegal under any circumstances pursuant to the laws of the United States, and this section is not intended to protect the above-described persons from arrest or prosecution pursuant to the laws of the United States. The property owner(s) of record for property associated with the cultivation of cannabis, or their lessees, tenants and other participants in the cultivation of cannabis, assume any and all risk and all liability that may arise or result under state and federal criminal laws from the cultivation of cannabis.

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Packet Pg. 107 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Section 8. Section 20.28.310 Definitions shall be amended to include the following definitions:

20.28.310 Definitions
Cannabis. All parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, or any other strain or varietal of the genus Cannabis that may exist or be discovered, or developed, that has psychoactive or medical properties, whether growing or not, including but not limited to the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from cannabis. “Cannabis” also means marijuana as defined by California Health and Safety Code Section 11018 and Business and Professions Code Section 26000(f), as both may be amended from time to time. Any reference to “cannabis” or “cannabis products” shall include medical and nonmedical cannabis and medical and nonmedical cannabis products unless otherwise specified. “Cannabis” or “cannabis product” does not mean industrial hemp as defined by Health and Safety Code Section 11018.5, or the weight of any other ingredient combined with cannabis to prepare topical or oral administrations, food, drink, or other product. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil or cake, or the sterilized seed of the plant which is incapable of germination.

Cannabis accessories. Has the same meaning as in Health and Safety Code Section 11018.2.

Cannabis cultivation. Any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis, including nurseries.

Cannabis cultivation area (or “canopy”). The total aggregate area(s) of cannabis cultivation on a single premises as measured around the outermost perimeter of each separate and discrete area of cannabis cultivation at the dripline of the canopy expected at maturity and includes, but is not limited to, the space between plants within the cultivation area, the exterior dimensions of garden beds, garden plots, hoop houses, green houses, and each room or area where cannabis plants are grown, as determined by the review authority.

Cannabis cultivation – indoor. The cultivation of cannabis within a permanent, lockable structure, using exclusively artificial lighting.

Cannabis cultivation – mixed-light. The cultivation of cannabis using any combination of natural and supplemental artificial lighting. Greenhouses, hoop houses, hot houses and similar structures, or light deprivation systems are included in this category.

Cannabis cultivation – outdoor. The cultivation of cannabis using no artificial lighting conducted in the ground or in containers outdoors with no covering.

Cannabis cultivation site. The location, premises, leased area(s), property, location or facility where cannabis is planted, grown, harvested, dried, cured, graded, or trimmed, or a location where all or any combination of those activities is currently occurring or proposed to occur in the future.

Cannabis distribution facility. Location or a facility where a person conducts the business of procuring cannabis from licensed cultivators or manufacturers for sale to licensed dispensaries or delivery operations, and the inspection, quality assurance, batch testing by a Type 8 licensee, storage, labeling, packaging and other processes, prior to transport to licensed dispensaries or delivery operations. This facility requires a Type 11 license pursuant to the Medicinal and Adult Use Cannabis Regulation and Safety Act (“MAUCRSA”) or a state cannabis license type subsequently established.

Cannabis distributor. A commercial cannabis operation that distributes cannabis or cannabis products between licensees, under a valid state license Type 11, or a state cannabis license type subsequently established.

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Packet Pg. 108 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) Cannabis license. A state license issued pursuant to the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”).

Cannabis licensee. A person issued a state license under the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”) to engage in commercial cannabis uses or activity.

Cannabis, manufactured. Raw cannabis that has undergone a process whereby the raw agricultural product has been transformed into a concentrate, an edible product, or a topical product.

Cannabis manufacturer. A person that produces, prepares, propagates, or compounds manufactured cannabis or cannabis products, either directly or indirectly or by extraction methods, or independently by means of chemical synthesis or by a combination of extraction and chemical synthesis, at a fixed location that packages or repackages cannabis or cannabis products or labels or relabels its container, that holds a valid state Type 6 or 7 license, or a state cannabis license type subsequently established, and that holds a valid local license or permit.

Cannabis manufacturing facility (non-volatile/no solvents). A facility that produces, prepares, propagates, or compounds manufactured cannabis or cannabis products, directly or indirectly, by extraction methods, independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis, and is operated by a Type 6 license for these activities. Non-volatile solvents are chemicals that do not produce a flammable gas or vapor. Examples of non-volatile solvents include ethanol, carbon dioxide, cooking oils, and butter.

Cannabis manufacturing facility (volatile solvents). A facility that produces, prepares, propagates, or compounds manufactured cannabis or cannabis products, directly or indirectly, by extraction methods, independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis, and is operated by a Type 7 license for these activities. Volatile solvents are chemicals that produce a flammable gas or vapor. Examples of volatile solvents include butane, heptane, hexane, and propane.

Cannabis medical, medical cannabis, or medicinal cannabis. Cannabis that is intended to be used for medical cannabis purposes in accordance with the Compassionate Use Act (“CUA,” Health and Safety Code Section 11362.7 et seq.), the Medical Marijuana Program Act (“MMPA,” Health and Safety Code Section 11362.7 et seq.), the Medical Cannabis Regulation and Safety Act (“MCRSA,” Business and Professions Code Section 19300 et seq.) and the Medicinal and Adult Use Cannabis Regulation and Safety Act (“MAUCRSA”).

Cannabis microbusiness (without cultivation). A commercial cannabis facility operating under a state Type 12 license, or a state cannabis license type subsequently established, and meeting the definition of microbusiness found in Business and Professions Code Section 26070(a)(3)(A), as may be amended from time to time, without cultivation of cannabis, and acts as a licensed distributor, Level 1 manufacturer, and retailer.

Cannabis non-storefront retailer. A commercial cannabis facility where cannabis and/or cannabis products are offered for retail sale exclusively by delivery, where there is no storefront open to the public, operating under a state license Type 9 or a cannabis license type subsequently established. This definition does not include mobile dispensaries.

Cannabis permit or commercial cannabis permit. A permit issued by the City pursuant to Section 20.20.095 for the operation of a commercial cannabis business within the City.

Cannabis products. Cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including, but not limited to, concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.

Cannabis storefront retailer (dispensary). A facility operated in accordance with state and local laws and regulations, where cannabis and/or cannabis products are offered for retail sale, including an establishment that delivers cannabis and/or cannabis products as part of a retail sale, under a state license Type 10 or a cannabis license type subsequently established. This definition does not include mobile dispensaries.

Cannabis testing laboratory. A laboratory, facility, or entity that offers or performs tests of cannabis or cannabis products, including the equipment provided by such laboratory, facility, or entity, which is accredited by an

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Packet Pg. 109 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) accrediting body that is independent from all other persons involved in commercial cannabis activity and is licensed by the state.

Cannabis use or commercial cannabis use. Any commercial cannabis activity as defined in California Business and Professions Code Section 26001(j), and as may be subsequently amended, which includes the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis or cannabis products as provided in the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA,” California Business and Professions Code Sections 26000 et seq.) and applicable state cannabis laws and for which a state license or nonprofit license is required.

Non-Storefront Commercial Medicinal Cannabis Retailer. Any commercial cannabis use that only engages in the retail sale by delivery of medicinal cannabis to qualified patients and primary caregivers.

Primary caregiver. Primary Caregiver shall have the meaning set forth in Health and Safety Code Section 11362.7, as it may be subsequently amended.

Qualified patient. Qualified Patient shall have the meaning set forth in Health and Safety Code Section 11362.7, as it may be subsequently amended.

State cannabis laws. Means and includes California Health and Safety Code Sections 11362.1 through 11362.45; California Health and Safety Code Section 11362.5 (Compassionate Use Act of 1996); California Health and Safety Code Sections 11362.7 to 11362.85 (Medical Marijuana Program); California Business and Professions Code Sections 26000, et seq. (Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”)); all state laws enacted or amended pursuant to SB-94, Chapter 27, Statutes of 2017; the California Attorney General’s Guidelines for the Security and Non-Diversion of Cannabis Marijuana Grown for Medical Use issued in August 2019, as such guidelines may be revised from time to time by action of the Attorney General; California Labor Code Section 147.5; California Revenue and Taxation Code Sections 31020 and 34010 through 34021.5; California Fish and Game Code Section 12029; California Water Code Section 13276; all state regulations adopted pursuant to MAUCRSA, particularly including California Code of Regulations Title 4, Division 19 (Department of Cannabis Control); any license issued pursuant to MAUCRSA; and all other applicable laws of the State of California.

Youth oriented property. Any property on which any of the following uses are located: (1) a child day care facility (as defined by California Health and Safety Code Section 1596.750, which includes a facility that provides nonmedical care to children under 18 years of age in need of personal services, supervision, or assistance essential for sustaining the activities of daily living or for the protection of the individual on less than a 24-hour basis; and includes day care centers, employer-sponsored child care centers, and family day care homes); (2) a day care center (as defined by California Health and Safety Code Section 1596.76, including any child day care facility other than a family day care home, and includes infant centers, preschools, extended day care facilities, and school-age child care centers, and includes child care centers licensed pursuant to California Health and Safety Code Section 1596.951); (3) a youth center (as defined by California Health and Safety Code Section 11353.1, which includes any public or private facility that is primarily used to host recreational or social activities for minors, including, but not limited to, private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities); or (4) a school (including any private or public educational facility providing instruction in kindergarten or grades 1 through 12).

Section 9. Environmental Compliance.

The City Council finds that the proposed Healdsburg Municipal Code amendments are exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) (the “common sense exemption”) because it can be seen with certainty that there is no possibility that the amendments will have a significant effect on the environment; and
Section 10. Severability

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Packet Pg. 110 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading) If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 11. Effective Date and Publication.

This Ordinance of the City of Healdsburg shall be effective thirty (30) days after the date of its passage. Before expiration of fifteen (15) days after its passage, this Ordinance or a summary thereof as provided for in Government Code Section 36933, shall be published at least once in a newspaper of general circulation published and circulated in the City of Healdsburg, along with the names of the City Council members voting for and against its passage.

INTRODUCED by the City Council of the City of Healdsburg on the 20th day of March, 2023, and PASSED and APPROVED at a regular meeting of the City Council on the 17th day of April, 2023, by the following vote:

AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAIN: Councilmembers: ( )

SO ORDERED
____________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk
Dated:

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Packet Pg. 111 Attachment: Commercial Cannabis Ordinance (4018 : Commercial Cannabis Ordinance 2nd Reading)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Adopt Retail Cannabis Business Application Process Fees PREPARED BY: Andrew Sturmfels, Assistant City Manager
STRATEGIC INITIATIVE(S):

Establish Proactive Policies/Programs to Continue to Promote Economic Diversity & Sustainable Growth
RECOMMENDED ACTION(S):

Adopt a Resolution adding certain discretionary user fees related to retail cannabis permit applications.

COMMUNITY ENGAGEMENT/OUTREACH:

This discussion item is part of a properly noticed City Council meeting where opportunity for public participation is available. Previous efforts to engage the community on developing a cannabis business program include a public workshop, multiple publicly noticed meetings, a community survey, and a voter initiative placed in the 2022 ballot. Additionally, the City Council received public comment and discussed establishing fees specific to the retail cannabis application process at the Council Meeting on March 20th, 2023.

BACKGROUND:

The City of Healdsburg is in the process of implementing a cannabis business program that would authorize two retail dispensaries selected through a competitive process. To appropriately recover staff and consultant costs associated with developing and implementing the program, City staff are proposing to establish fees for the retail dispensary permit application. The fees would recover costs associated with the retail cannabis application process and zoning clearance letters.

Staff will return to Council at a later date to discuss establishing permit application fees for nonstorefront commercial medicinal retailers (delivery only), non-volatile manufacturing, distribution, and testing laboratories.

DISCUSSION/ANALYSIS:

Under existing State law, the City may recover up to 100% of the estimated reasonable cost of

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providing discretionary services through the imposition of fees. To date, staff have invested significant time into developing the discretionary cannabis business program. The City will continue to invest time and money through the retail cannabis application process, licensing, inspection, and other regulatory processes. The proposed fees are necessary to offset City costs associated with regulating cannabis businesses in Healdsburg. Proposed fee amounts are based upon the costs reasonably borne by the City to effectuate the proposed Chapter 20.20.095 of the Healdsburg Municipal Code (HMC), relating to the authorization and regulation of commercial cannabis uses.

Cost recovery through fees would allow the City to charge cannabis businesses directly for the discretionary services that they receive from the City. Without establishing new fees, the City would be subsidizing the cannabis program with General Fund tax revenues.

Retail Commercial Cannabis Permit Application Fee
Proposed Chapter 20.20.095 of the HMC establishes a commercial cannabis permit application process, which must be completed prior to issuance of a commercial cannabis permit. The application process will check for property owner authorization of the commercial cannabis use, business entity formation, business owner identification, operating plan compliance, security information, proof of insurance, and other regulatory requirements. Costs associated with design and implementation of the application process include:
• Development of application forms and instructions
• Intake, processing, and review of application materials • Notification of missing materials and processing of supplemental information • Pre-permitting inspections
• Other general administrative functions
During the March 20th Council meeting, staff presented two alternatives for establishing the application fee. The first contemplated full cost recovery of establishing the cannabis regulatory program. The second contemplated only recovering the costs associated directly with the retail cannabis business application process. Staff received direction from Council to proceed with developing a fee structure based only on the costs associated with the retail cannabis business application process.

The fee study presented on March 20th was also based on an estimated 10 applicants. After the March 20th meeting, staff updated the fee study to reflect 12 applicants. Exhibit A to the proposed resolution is the updated Fee Study. As a result of the increase in anticipated applicants, the proposed fee is now $9,647.31, down from $10,060.46. This change represents a reduction of $413.15 per applicant, while still recovering the revised estimated total cost of completing the selection process of $115,767.76.

In comparing the updated proposed fee with other jurisdictions, Healdsburg’s proposed applicant fee would be less than Santa Rosa and the City of Sonoma, but more than Cloverdale and Cotati.

It’s important to note that each jurisdiction has a different approach to their retail cannabis application process – so while the local comparisons are helpful, they are not a perfect apple to apples comparison of costs to complete the competitive application process.

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Jurisdiction Application Fee
Cloverdale $ 5,182.00
Sonoma (City) $ 9,797.00
Santa Rosa $ 13,991.00
Cotati $ 6,943.00
Other Fees
Additional fees related to the competitive retail cannabis selection process are necessary to offset the cost of providing services to cannabis businesses. A summary of the fees and costs are provided in Exhibit B. A summary of these fees is provided below:
• Zoning Clearance Letter – Applicants will need to obtain a Zoning Clearance Letter from the City as part of their application process to ensure their proposed location meets established criteria. Staff recommend this fee be $113.14 based on the cost to complete this process.

The City already has a fee for completing a Live Scan Background check, so the creation of a new fee is not necessary.

ENVIRONMENTAL STEWARDSHIP:

Not applicable.

ALTERNATIVES:

Council may choose to adopt the proposed resolution or provide direction to staff to adjust the proposed fees. If additional changes are requested staff will need to return to a future meeting with an updated fee study and proposed resolution.

FISCAL IMPACT:

The purpose of these application fees is to offset consultant and City staff time costs for administering the permit process for retail commercial cannabis uses. The total fiscal impact of the proposed fees will depend upon the number of cannabis applicants and permittees in the City.

Based upon current estimates, it is expected that the application fee will generate approximately $115,767 in one-time General Fund revenues. These revenues will be offset by staff time and consultant costs to support the administration of the competitive retail cannabis process.

ENVIRONMENTAL ANALYSIS:

Pursuant to California Environmental Quality Act (“CEQA”) and Title 14, the California Code of Regulations Section 15378(b)(2), the recommended action is administrative in nature and does not qualify as a “Project” under CEQA. Therefore, no further CEQA or environmental review is required.

ATTACHMENT(S):

Resolution
Exhibit A: Retail Cannabis Application Fee Study
Exhibit B: Cannabis Application Other Fees Study

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CITY OF HEALDSBURG
RESOLUTION NO. ___-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG ADDING CERTAIN DISCRETIONARY

REGULATORY FEES RELATED TO RETAIL CANNABIS

PERMIT APPLICATIONS
WHEREAS, the City of Healdsburg provides miscellaneous public services of a discretionary nature and collects the cost of providing those services through the Master Fee Schedule; and
WHEREAS, the City’s general policy is to recover the full and reasonable costs incurred by providing miscellaneous discretionary services of a voluntary and limited nature, such that general tax revenues are not diverted from services of a broad nature and thereby utilized to subsidize such miscellaneous discretionary services; and WHEREAS, on March 20th staff provided council two alternatives for establishing the application fee, the first contemplated full cost recovery of establishing the cannabis regulatory program, the second contemplated only recovering the costs associated directly with the retail cannabis business application process; and
WHEREAS, City Council directed staff to establish a fee that recovers only the costs associated directly with the retail cannabis business application process; and WHERAS, applications require a Zoning Clearance Letter from the City as part of their application process to ensure their proposed location meets established criteria; and WHEREAS, the regulatory fees for miscellaneous discretionary services, which are described in Exhibit “A” and Exhibit “B” are reasonable in that the amount thereof does not exceed the estimated reasonable costs of providing the described miscellaneous discretionary services; and
WHEREAS, the regulatory fees comply with Section 1 of Article XIII-C of the California Constitution because the cost of service analyses set forth in Exhibit “A” and Exhibit “B” demonstrate that the fees are charges imposed to cover the City’s reasonable regulatory costs for issuing licenses or permits, performing investigations, inspections, or audits, and the administrative enforcement and adjudication thereof; and WHEREAS, the establishment of discretionary regulatory fees, Pursuant to California Environmental Quality Act (“CEQA”) and Title 14, the California Code of Regulations Section 15378(b)(2), is an administrative actions and does not qualify as a “Project”. Therefore, no further CEQA or environmental review is required.

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Packet Pg. 115 Attachment: Resolution (4001 : Adopt Retail Cannabis Business Application Process Fees) Resolution No. – 2023

Page 2 ends

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HEALDSBURG DOES HEREBY:
1) Find that pursuant to California Environmental Quality Act (“CEQA”) and Title 14, the California Code of Regulations Section 15378(b)(2), that the adoption of discretionary regulatory fees does not qualify as a “Project”. Therefore, no further CEQA or environmental review is required.
2) Adopt the fees as described in Exhibit “A” and Exhibit “B” attached to this resolution. 3) Declare adopted fees for miscellaneous discretionary services set forth in this resolution shall be adjusted for inflation by the City Manager on July 1 of every year by applying the then current Consumer Price Index - All Urban Consumers for the San Francisco-Oakland-San Jose area, as calculated by the U.S. Department of Labor, for the month of April. The City Manager may round the adjusted fees down to the nearest whole dollars.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 17th day of April 2023, by the following vote:

AYES: Councilmembers: ()
NOES: Councilmembers: ()
ABSENT: Councilmembers: ()
ABSTAINING: Councilmembers: ()
SO ORDERED: ATTEST:
__________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Packet Pg. 116 Attachment: Resolution (4001 : Adopt Retail Cannabis Business Application Process Fees) Healdsburg Application Process Cost Analysis

ASSUMPTIONS
Est. # Applications: 12
Loaded rates:

Dep Position Department Fully Loaded Cost
CM City Manager City Manager's Office $162.38
CM Assistant City Manager City Manager's Office $124.68 CD Community Development Director Community Development Department $113.14 CA City Attorney (Contract) City Attorney's Office $318.00 PD Police Chief Police Department $160.42
CM Adminitrative Analyst II City Manager's Office $65.03 CD Senior Planner Community Development Department $81.48

APPLICATION FEE

PROCESS DESCRIPTION HOURS FREQUENCY POSITION DEPT RATE HOURS/APP UNIT TOTAL (ESTIMATED) PER APPLICATON City of Healdsburg Staff
Community outreach, policy/administrative development, and overall design of program. 0 Total Hours Assistant City Manager CM $124.68 0.00 One-Time $ - $ - Legal support for ordinance development, adoption and implementation of cannabis regulatory program. 0 Total Hours City Attorney (Contract) CA $318.00 0.00 One-Time $ - $ - Ordinance development, buffer map design, and other planning/administrative functions 0 Total Hours Community Development Director CD $113.14 0.00 One-Time $ - $ - 20 Total Hours Assistant City Manager CM $124.68 1.67 One-Time $ 2,493.60 $ 207.80 20 Total Hours Community Development Director CD $113.14 1.67 One-Time $ 2,262.80 $ 188.57 Development of cannabis website, including FAQ and other updates before and during application window. 20 Total Hours Adminitrative Analyst II CM $65.03 1.67 Receive and process applications by mail or in person. 0.25 Hours/Application Senior Planner CM $81.48 0.25 Application $ 244.44 $ 20.37 Notification of missing application materials, and processing of supplementary information provided by businesss with incomplete applications. 0.75 Hours/Application Senior Planner CM $81.48 0.75 Application $ 733.32 $ 61.11

0.5 Hours/Application Assistant City Manager CM $124.68 0.50 Application $ 748.08 $ 62.34

0.5 Hours/Application City Manager CM $162.38 0.50 Application $ 974.28 $ 81.19 Participation in applicant interviews (3 panelists, blended loaded rates) 6 Hours/Application Multiple Blended Rates N/A $122.19 6.00 Application $ 8,797.92 $ 733.16 Final high level review of cannabis buisness permit application Phase III scores. Preparation of final applicant selection materials for City Council approval. 4 Hours/Application Assistant City Manager CM $124.68 4.00 Application $ 5,984.64 $ 498.72 Presentation of final applicants to City Council. 1 Hours/Application Assistant City Manager CM $124.68 1.00 Application $ 1,496.16 $ 124.68 Local Authorization Respond to requests from State agency to verify "local authorizaton" of cannabis applicants for state license. Verify State agency has issued a state license. 0.5 Total Hours Adminitrative Analyst II CM $65.03 0.04 One-Time $ 32.52 $ 2.71 Consultant Services
Consulting Services
Coordination with City Attorney and Deputy City Manager on development of draft cannabis application procedures, development of fee study, assistance with City Council presentations, and other cannabis consulting services.

N/A Flat Rate Consultant N/A $20,000.00 N/A One-Time $ 20,000.00 $ 1,666.67 Application Review/Interview Check for completeness and quality assurance review of cannabis business license applications, facilitation of applicant interviews and City Manager final selection. N/A Per Application Consultant N/A $6,000.00 N/A Application $ 72,000.00 $ 6,000.00 Pre-License Site Inspections Inspect cannabis facility for regulatory compliance prior to licensure. Includes lighting, security, signage, security cameras, inventory control, product storage, etc. N/A Flat Rate Consultant N/A $4,000.00 N/A One-Time $ 4,000.00 $ 333.33 Total Per Application $ 115,767.76 $ 9,647.31
Application Selection
General Administration
Application Design
Review/approval of application forms and instructions. Development/presentation of resolution to City Council.

Application Intake/Review/Interview
Final high level review of cannabis business permit applications Phase II scores.

Exhibit A: Retail Cannabis Application Fee Study

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Packet Pg. 117 Attachment: Exhibit A: Retail Cannabis Application Fee Study (4001 : Adopt Retail Cannabis Business Other Fees: Healdsburg Additional Regulatory Cost Analysis

ASSUMPTIONS
Loaded rates:

Dept Position Department Fully Loaded Cost
CD Director of Community Development Community Development Department $113.14

PROCESS DESCRIPTION POSITION DEPT RATE HOURS UNIT PER OWNER Zoning Clearance Letter Receiving request, reviewing location criteria, issuing letter. Director of Community Development CD $113.14 1.00 Review $ 113.14 Per Zoning Clearance Letter Review $ 113.14

ZONING CLEARANCE LETTER
ATTACHMENT A Page 4
Exhibit B: Healdsburg Cannabis Application Other Fee Study

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Packet Pg. 118 Attachment: Exhibit B: Cannabis Application Other Fees Study (4001 : Adopt Retail Cannabis Business Application Process Fees)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: National Opioid Litigation Settlement
PREPARED BY: Katie Edgar, Finance Director
STRATEGIC INITIATIVE(S):

Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):

Adopt a Resolution authorizing the City Manager to take all necessary actions to settle claims against CVS, Allergan, Teva, Walmart, and Walgreens in the National Opioid Litigation (In Re:

National Prescription Opiate Litigation (U.S.D.C. Case NO. 1:17-CV-2804)) and execute related settlement agreements.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

In 2021, the City Council adopted Resolution No. 148-2021, which authorized the City Manager to take all necessary actions to join the first wave of settlements in the National Opioids Multidistrict Litigation. Five more defendants, Teva and Allergan (“Manufacturers”), and pharmacy groups Walgreens, Walmart, and CVS (“Pharmacies”), have entered into settlement agreements, which will also provide funds to local agencies (“Wave Two Settlements”). Like the first wave of settlement agreements, local entities must opt in to receiving funds from this second wave of settlements and the funds must be directed towards abatement of opioid use.

The deadline for agencies to submit the necessary documentation to opt in to receiving funds from the Wave Two Settlements and to approve the associated California State Subdivision Agreements is April 18, 2023.

Copies of the settlement agreements and helpful flowcharts and FAQs can be found here:
https://oag.ca.gov/opioids/faqs
DISCUSSION/ANALYSIS:

California expects to receive up to approximately $1.8 billion of the national settlement funds

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resulting from the Second Wave Settlement. This is in addition to the approximately $2.2 billion that California expects to receive through the first round of settlements, finalized in 2022. Like the first wave of settlements, the more agencies that opt into the Wave Two Settlement, the more funds each agency will receive.

The general structure for distributing the roughly $1.8 billion coming to California is as follows:
o 15% to the State; and
o 15% will go to litigating entities to defray litigation costs; and o 70% to an “abatement fund,” which is available to cities and counties that have a population greater than 10,000. Unless the City elects for direct payment, the funds will be directed to the County. Cities will be able to change their election regarding the direct payments each time a payment is made.

As with the first wave of settlements, proceeds from the Second Wave Settlements must be spent on activities to abate the impacts of the opioid crisis, such as providing matching funds for operating costs for substance use disorder (SUD) facilities, creating new or expanded SUD treatment infrastructure, addressing the needs of communities of color and vulnerable populations that are disproportionately impacted by SUD, preventing addiction in vulnerable youth, and dispensing Narcan.

Settlement funds will be dispersed annually to the county. The funds will stay with the county unless the City notifies the Settlement Fund Administrator that the City would rather receive the funds directly. If the City elects to receive the funds, the City will be required to prepare written reports at least annually regarding the use of those funds, until those funds are fully expended and for one year thereafter. Alternatively, the City can also choose to leave the funds with the County. The City may decide to receive funds some years, and have the funds start with the County in others, provided the City communicates its decision to the Settlement Fund Administrator within 60 days of the annual payment. If the Council wishes to join the settlement, staff propose the funds be directed to the City.

ENVIRONMENTAL STEWARDSHIP:

Not applicable.

ALTERNATIVES:

The City Council could decline to adopt the resolution. The City would not join the Second Wave Settlements and would not receive settlement funds.

FISCAL IMPACT:

The City could receive up to $362,000, over the next 13 years to be used on opioid abatement programs. To date the City has received $60,690 from the first round of settlements. The City will have five years to expend the funds and will be required to complete annual reporting to the California Department of Health Care Services.

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ENVIRONMENTAL ANALYSIS:

Adopting the attached resolution is an administrative activity, which is not considered a ‘project’ as defined by the California Environmental Quality Act (“CEQA”) (CEQA Guidelines § 15378) and thus no further CEQA analysis is required.

ATTACHMENT(S):

Resolution

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CITY OF HEALDSBURG
RESOLUTION NO. ___-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG AUTHORIZING THE CITY MANAGER TO

TAKE ALL NECESSARY ACTIONS TO SETTLE CLAIMS

AGAINST CVS, ALLERGAN, TEVA, WALMART, AND

WALGREENS IN THE NATIONAL OPIOID LITIGATION (IN
RE: NATIONAL PRESCRIPTION OPIATE LITIGATION
(U.S.D.C. CASE NO. 1:17-CV-2804)) AND EXECUTE

RELATED SETTLEMENT AGREEMENTS
WHEREAS, the United States is facing an ongoing public health crisis of opioid abuse, addiction, overdose, and death, forcing the State of California and California counties and cities to spend billions of dollars each year to address the direct consequences of this crisis; and WHEREAS, pending in the U.S. District Court for the Northern District of Ohio is a multidistrict litigation (In Re: National Prescription Opiate Litigation (U.S.D.C. Case No. 1:17- CV-2804) (“MDL”) being pursued by numerous public entity plaintiffs against the manufacturers and distributors of various opioids based on the allegation that the defendants’ unlawful conduct caused the opioid epidemic; and
WHEREAS, in 2021, the City Council authorized the City Manager to take all necessary action to opt-in and join in the settlement of the Nation Opioid Litigation and settle claims against the three largest pharmaceutical distributors, McKesson, Cardinal Health, and AmerisourceBergen, and manufacturer Janssen Pharmaceuticals, Inc. and its parent company Johnson & Johnson; and
WHEREAS, on or about November 14, 2022, a proposed nationwide tentative settlement was reached between the plaintiffs in the MDL and Walmart Inc. (“Walmart”); and WHEREAS, on or about November 22, 2022, a proposed nationwide tentative settlement was reached between the plaintiffs in the MDL and Teva Pharmaceutical Industries Ltd. (“Teva”), Allergan Finance, LLC (“Allergan”); and;
WHEREAS, on or about December 9, 2022, a proposed nationwide tentative settlement was reached between the plaintiffs in the MDL and CVS Health Corporation and CVS Pharmacy, Inc. (collectively “CVS”) and Walgreen Co. (“Walgreens”); and WHEREAS, Walmart, Teva, Allergan, CVS, and Walgreens may collectively be referred to herein as the Settling Defendants; and
WHEREAS, the settlement agreements between the Settling Defendants may collectively be referred to herein as the Second Wave Settlement Agreements; and

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Packet Pg. 122 Attachment: Resolution (4025 : National Opioid Litigation Settlement) Resolution No. _____-2023

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WHEREAS, as part of the Second Wave Settlement Agreements with the Settling Defendants, local subdivisions, including certain cities, that are not plaintiffs in the MDL may participate in the settlements in exchange for a release of the Settling Defendants; and WHEREAS, in order for Healdsburg to participate the City must elect to participate by April 18, 2023, by completing a participation agreement; and WHEREAS, it the intent of this Resolution is to authorize the City of Healdsburg to opt-in and join the settlement of the Nation Opioid Litigation and to enter into the master settlement agreements with the Settling Defendants.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg finds the foregoing recitals are true and correct, and they are hereby incorporated by reference into this Resolution.

BE IT FURTHER RESOLVED that the City Council of the City of Healdsburg does hereby:

1. Authorize the City Manager to take all necessary actions to join the settlements in the National Opioid Litigation (In Re: National Opiate Litigation (U.S.D.C. Case No. 1:17- CV-2804 and to release any potential claims against the Settling Defendants and accept payment based on the terms and conditions set forth in the Second Wave Settlement Agreements; and

2. Authorize the City Manager to execute the Second Wave Settlement Agreements and any other necessary documents, in a form approved by the City Attorney, required to join the Second Wave Settlement Agreements.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 17th day of April 2023 by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:
_________________________________ ___________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Packet Pg. 123 Attachment: Resolution (4025 : National Opioid Litigation Settlement)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: April 17, 2023
SUBJECT: Ordinance Approving the Development Agreement by and between the City of Healdsburg and Freebird Development Company, LLC, for the Saggio Hills Affordable Housing Project (DA 2023-01)
PREPARED BY: Linda Ruffing, Planning Consultant
STRATEGIC INITIATIVE(S):

Expand Affordable Housing Opportunities
RECOMMENDED ACTION(S):

COMMUNITY ENGAGEMENT/OUTREACH:

A public hearing notice was published in the Press Democrat and posted at City Hall.

BACKGROUND:

On April 3, 2023, the City Council introduced an ordinance approving the Development Agreement ("DA") between City of Healdsburg and Freebird Development Company, LLC ("Developer") for the Saggio Hills Affordable Housing Project ("Project").

DISCUSSION/ANALYSIS:

By entering into the DA, the City would grant the Developer vested rights to develop and construct the Project in accordance with the project approvals and would extend the project approvals for up to ten (10) years if the Phase 1 improvements have commenced on or before the date which is five (5) years after the date of approval of the DA. If the Phase 1 improvements have not commenced in five (5) years, the DA would be deemed terminated.

The DA presents the proposed Phasing Plan for the Project and establishes that the Project would be constructed in no more than four phases by Developer, as follows:
▪ The first phase of the Project would consist of the construction and completion thereof of the Parcel A Improvements, Lot 2 Improvements, Lot 14 Improvements, and the Public

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Improvements (“Phase 1 Improvements”). The Parcel B Improvements would be designed and constructed by City, at its sole cost and expense, either before or concurrently with the construction of the Phase 1 Improvements by Developer. ▪ The second phase of the Project would consist of the construction and completion thereof of the Lot 1 Improvements and Lot 3 Improvements (“Phase 2 Improvements”). Phase 2 Improvements may be combined with the Phase 1 Improvements. ▪ The third phase of the Project would consist of the construction and completion thereof of the Lot 15 Improvements (“Phase 3 Improvements”). If Developer elects to develop and construct the Lot 15 Improvements as a rental project, then said Lot 15 Improvements may be constructed and completed as part of Phase 2 Improvements and/or the Phase 1 Improvements; however, if Developer elects to develop and construct the Lot 15 Improvements as an owner-occupied development, then said Lot 15 Improvements shall be constructed and completed as the Phase 3 Improvements, which may be combined with the Phase 4 Improvements.
▪ The fourth phase of the Project will consist of the construction and completion thereof of the Townhome Lot Improvements as an owner-occupied development (“Phase 4 Improvements”).

ENVIRONMENTAL STEWARDSHIP:

The Saggio Hills Affordable Housing Project is subject to the California Environmental Quality Act ("CEQA") and its environmental effects were evaluated at a programmatic level in the Final Environmental Impact Report for the Saggio Hills Planned Development Project ("Saggio Hills Project EIR") and a Mitigation Monitoring and Reporting Program ("MMRP") was adopted.

Mass grading of the Project site, wetlands mitigation, creek restoration and construction of the Parkland Farms Boulevard extension and utilities were performed in compliance with the MMRP. An Addendum to the Saggio Hills Project EIR was prepared to evaluate impacts associated with the Saggio Hills Affordable Housing Project. It concluded that the analysis in the Saggio Hills Project EIR and the adopted mitigation measures sufficiently address potential impacts associated with the Project. The Project will be required to comply with all applicable mitigation measures in the MMRP.

ALTERNATIVES:

No alternatives are provided in that the requested action is the second reading of an ordinance.

FISCAL IMPACT:

All City costs for processing the Saggio Hills Affordable Housing Project entitlements are funded by the Developer in accordance with a Cost Recovery Agreement between the Developer and the City of Healdsburg. The Disposition and Development Agreement ("DDA") establishes additional requirements for the Developer to cover City costs associated with future implementation of the Project. The Developer is responsible for obtaining financing for construction of the Project Improvements. The City Assistance identified in the DDA consists of "pass-through" amounts from contributions provided by the Saggio Hills Project developer (Sonoma Luxury Resort, LLC).

ENVIRONMENTAL ANALYSIS:

The Saggio Hills Affordable Housing Project is addressed in the Final Environmental Impact

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Report for the Saggio Hills Planned Development Project (State Clearinghouse No. 2003062025) which was certified by the Healdsburg City Council through the adoption of Resolution No. 15- 2011. An Initial Study/Environmental Checklist was prepared for the Saggio Hills Affordable Housing Project and, based on the analysis contained therein, the Community Development Director determined that an Addendum to the Saggio Hills Project EIR is the appropriate environmental document for the Project. Based upon substantial evidence demonstrated by the analysis included in the Addendum, none of the conditions described in Sections 15162 or 15163 of the CEQA Guidelines calling for the preparation of a subsequent or supplemental EIR or negative declaration have occurred, specifically:
(a) There have not been any substantial changes in the Project that require major revisions of the Saggio Hills Project EIR because of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; (b) There have not been any substantial changes with respect to the circumstances under which the Project is undertaken that require major revisions of the Saggio Hills Project EIR due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; and (c) There is no new information of substantial importance, which was not known and could not have been known with the exercise of reasonable diligence at the time the Saggio Hills Project EIR was certified, that shows any of the following:
i. The Project will have one or more significant effects not discussed in the Saggio Hills Project EIR;
ii. Significant effects previously examined will be substantially more severe than shown in the Saggio Hills Project EIR;
iii. Mitigation measures or alternatives previously found not to be feasible would in fact be feasible and would substantially reduce one or more significant effects of the Project, but the project proponents decline to adopt the mitigation measure or alternative; or
iv. Mitigation measures or alternatives which are considerably different from those analyzed in the Saggio Hills Project EIR would substantially reduce one or more significant effects on the environment, but the Project proponents decline to adopt the mitigation measure or alternative.

ATTACHMENT(S):

ATT 1 Ordinance (DA 2023-01 Saggio Hills Aff Housing)
ATT 1, EXHIBIT 1 Freebird Saggio Development Agreement

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CITY OF HEALDSBURG
ORDINANCE NO. ___

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG APPROVING A DEVELOPMENT
AGREEMENT (DA 2023-01) FOR THE SAGGIO HILLS
AFFORDABLE HOUSING PROJECT LOCATED AT 450

PARKLAND FARMS BOULEVARD
WHEREAS, in 2010 and 2011, the Healdsburg City Council approved entitlements for the Saggio Hills Development Project as follows:

1. On January 31, 2011, the Saggio Hills Area Plan was adopted by Resolution No. 17-2011;

2. On January 31, 2011, Ordinance No. 1071 establishing pre-zoning designations for the Saggio Hills planning area was confirmed and ratified by Resolution No. 19-2011;

3. On January 31, 2011, a Tentative Subdivision Map was approved for the Saggio Hills Development Project by Resolution 18-2011;

4. Effective April 11, 2011, the City of Healdsburg and Sonoma Luxury Resort, LLC entered into a Development Agreement for the Saggio Hills Project (Ordinance No. 1107); and WHEREAS, prior to the City Council’s approval of the Saggio Hills Development Project entitlements, an Environmental Impact Report ("Saggio Hills Project EIR") was prepared pursuant to the California Environmental Quality Act (Pub. Res. Code § 21000, et seq.) (“CEQA”), (State Clearinghouse No. 2003062025), which analyzed the environmental impacts of development of the Saggio Hills Development Project. The Saggio Hills Project EIR is comprised of the 2007 Draft EIR (August 2007), the 2007 Final EIR (October 2007), the Responses to Late Comments (April 2008), the Errata (April 2008), the Draft Partial Revision (August 2010, and the Final Partial Revision (December 2010). The Saggio Hills Project EIR was certified by the City Council on January 31, 2011 and a Mitigation Monitoring and Reporting Program ("MMRP") was adopted by Resolution No. 15-2011; and
WHEREAS, as noted above, the City of Healdsburg ("City") and Sonoma Luxury Resort, LLC ("SLR") are parties to a Development Agreement dated April 11, 2011, as evidenced by a Memorandum of Development Agreement recorded in the Official Records of Sonoma on April 27, 2011, as Instrument No. 2011037227; as amended on April 5, 2016, pursuant to an Insubstantial Amendment To The Development Agreement Between The City Of Healdsburg And Sonoma Luxury Resort, LLC, Dated April 11, 2011; as amended on May 30, 2019, pursuant to a Second Insubstantial Amendment To Development Agreement, as evidenced by a Memorandum of Second Insubstantial Amendment to Development Agreement, recorded in the Official Records on August 5, 2019, as Instrument No. 2019053988; as amended on January 19, 2021, pursuant to a Third Amendment to Development Agreement, as evidenced by a Memorandum of Development Agreement recorded in the Official Records on March 4, 2021, as Instrument No. 2021025567 (collectively, the “Development Agreement”); and

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Packet Pg. 127 Attachment: ATT 1 Ordinance (DA 2023-01 Saggio Hills Aff Housing) (4021 : Freebird Development Agreement) Ordinance No. ___

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Healdsburg City CouncilApril 17, 2023

Healdsburg City Council
April 17, 2023