To: Planning Commission
From: Planning and Building Department
Agenda Section: Consent
SUBJECT:
title
Ganjery, LLC, Conditional Use Permit
Assessor Parcel Numbers (APN) 508-242-024
Record Number PLN-2025-19212
McKinleyville area
The Applicant seeks to modify a Conditional Use Permit for a Microbusiness on APN 508-242-042 (PLN-2019-15574). The Applicant was previously approved to operate a Microbusiness, including distribution, manufacturing (infusion), and retail on the parcel. The Applicant proposes to modify the license to include manufacturing (non-flammable extraction). The Applicant estimates an additional 6,000 gallons of water will be required annually for the additional manufacturing activities and expects no change or negligible changes to power use, staffing needs, and traffic volumes. No changes to hours of operation are proposed. The subject parcel is served by the water and sewer system of the McKinleyville Community Services District. Electricity is sourced from PGE and backup generator power.
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RECOMMENDATION(S):
Recommendation
That the Zoning Administrator:
1. Adopt the resolution (Attachment 1) which does the following:
a. Finds the Ganjery LLC Modification project exempt from environmental review pursuant to Section 15301 (Existing facilities) of the CEQA Guidelines; and
b. Finds the proposed project complies with the General Plan and Zoning Ordinance; and
c. Approves the Modification PLN-2025-19212 as recommended by staff, subject to the conditions of approval.
Body
DISCUSSION:
Project Location: The project is located in the McKinleyville area, on the south side of Nursery Way, approximately 363 feet north of the intersection of Central Avenue and Nursery Way, on the property known as 1580 Nursery Way, Suite C.
Present General Plan Land Use Designation: Commercial Services (CS), McKinleyville Community Plan (MCCP), Seismic Safety - Relatively Stable (0).
Present Zoning: Community Commercial (C-2) with a Noise Impact Combining Zone (N)
Environmental Review: The project is exempt from CEQA under Sections 15301 (Existing Facilities) of the CEQA Guidelines.
State Appeal: Project is NOT appealable to the California Coastal Commission.
Major concerns: None.
Executive Summary: The Applicant proposes to modify the license to include manufacturing utilizing non-flammable extraction. The Ganjery manufacturing division currently conducts infusion activities in a portion of Suite B-C and would use the same space for non-volatile extraction. Manufacturing is performed in an enclosed area of Suite B-C with restricted access and a private entryway adjacent to the retail storefront portion of the microbusiness. Suite B-C also houses an approved retail storefront.
Ganjery manufacturing division will use raw cannabis to produce both inhalable and edible cannabis products. All incoming deliveries from an external Licensee will be received in the shared Distribution/Manufacturing "Shipping & Receiving" area located in the back of Suite P-Q. Cannabis and cannabis products being brought into the manufacturing area of Suite B-C will exclusively be from the Distribution or Manufacturing areas of Suite P-Q. They will do so through the shared Retail/Manufacturing "Receiving Area" in the back of Suite B-C.
Strict inventory recordkeeping procedures are currently in place for all incoming and outgoing cannabis material. Each batch of finished cannabis product will be relocated to the distribution facility in Suite P-Q to await third-party testing. The current security plan for the manufacturing division includes a burglary alarm system, a dedicated password-protected entryway, commercial-grade door locks, secured windows/roofs/ventilation systems, real-time security alarm system, sign-in/sign-out procedures, and other measures as outlined in the Facility Premises Security Plan
Water Resources: The subject parcel is served water and sewer by McKinleyville Community Services District. Suites B-C and P-Q have existing ADA restrooms for employees. They were installed with permits and are connected to the McKinleyville Community Services District sewer system. This modification is estimated to utilize an additional 6,000 gallons of water per year.
Biological Resources: No mapped sensitive habitat areas are on the proposed project parcel or in the vicinity, and no known threatened or endangered species are present. The parcel is paved, and the use will be conducted within an existing structure.
Energy: The project is 100% supplied by grid power sourced from PG&E. The Ganjery LLC manufacturing division will utilize electric and natural gas appliances. The Applicant currently purchases only renewable energy from PGE, as outlined in the Operations Manual. Renewable energy is a cited performance standard incorporated into the operating restrictions within the signed Conditions of Approval.
Access: the project site is accessed via Nursery Way, a paved county roadway. The County Public Works Department has determined that Nursery Way and the property’s existing driveway are adequate to accommodate the present uses. Parking facilities are shared with other businesses on-site. The surrounding parcels to the north and east are zoned C-2, while land to the east and west of the project site is zoned Residential One-Family (R-1).
Residential Setback: Section 314-55.3.9.2 of the Humboldt County Code provides that the Planning Commission shall consider the potential impacts of commercial cannabis businesses on residential uses located within a 600 foot-radius of residential uses. The nearest residence to this facility is approximately 30 feet away, off of Marty Avenue. The project is separated from the residential parcels by an existing fence and there is no direct vehicle access from the homes to the facility. All activities will occur within the existing commercial building and this facility has been in operation since 2020 with no complaints from these residences having been received by the Planning and Building Department. During the consideration of the original use permit the Planning Commission considered the impact of the microbusiness facility on these residential uses and found that it would not be detrimental to them. The non-volatile manufacturing operation is likely to have no additional impacts beyond that of the current operation, and there is no evidence to suggest that approval of this modification would have any adverse impacts on these residential uses or on the public health, safety or welfare.
Geologic Suitability: Geologic hazard maps show the property to be relatively stable with a slope of less than 5%. Since no new exterior construction is proposed, no soil report is required. People and property on the project site will not be unnecessarily exposed to geologic and seismic risks.
Timber Conversion: There is no timber conversion occurring for this project.
Security and Safety: The existing security procedures include restricted access to persons employed with (or persons given explicit permission) The Ganjery, and each person must be 21 years of age or older. Cameras will be monitored in real-time, recording the property grounds and within each suite of the complex. The Ganjery maintains a monitoring video surveillance system that includes two cameras on the exterior of the building equipped for night and low light conditions and fourteen cameras on the interior of Suite P/Q. Meanwhile, in Suite B/C (Retail and Manufacturing), three exterior cameras exist on the building and are equipped for night and low light conditions. There are also nine cameras mounted in the interior of the building. The entire facility is proposed to be fitted with secure premises 24 hours a day, seven (7) days per week, by implementing strict limitations on human presence. Limited access areas will be established and only be accessible by authorized personnel. All cannabis products will be secured within locked storage to prevent diversion, theft, or loss.
The parcel is located in an area with a low fire hazard rating and is within the Arcata Fire Protection District (AFPD) Local Responsibility Area. The AFPD recommended the original Conditional Use Permit for approval with no conditions. Furthermore, according to the Flood Insurance Rate Map (FIRM), the project site is located within an area with minimal flood hazards.
The Department finds that the proposed project will not be detrimental to public health, safety, and welfare since all reviewing referral agencies have approved the design. The project's proposed and conditioned conditions are consistent with the general plan and zoning ordinances, and the proposed project is not expected to cause significant environmental damage.
Tribal Consultation: No new construction is proposed so that no ground disturbance will occur. Nonetheless, the project is conditioned to include an inadvertent discovery protocol should it encounter undocumented cultural resources.
Environmental Review: CEQA Exemption Section: 15301-Existing Facilities
OTHER AGENCY INVOLVEMENT:
The project was referred to responsible agencies, and all responding agencies have either responded with no comment or recommended approval. No request for conditions was made.
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Planning Commission could elect not to approve the project, require the Applicant to submit further evidence, or modify the project. Modifications may cause potentially significant impacts, and additional CEQA analysis and findings may be required. These alternatives could be implemented if the Planning Commission is unable to make all of the required findings. Planning Division staff has stated that the required findings in support of the proposal have been made. Consequently, the Planning staff does not recommend further consideration of the alternatives.
The Planning Commission could also decide that the project may have environmental impacts that would require further environmental review pursuant to CEQA. The staff did not identify any potentially significant impacts. As the Lead Agency, the Department has determined that the project is categorically exempt from environmental review under Section 15301 of the CEQA Guidelines. However, the Planning Commission may reach a different conclusion. In that case, the Planning Commission should continue the item to a future date at least two months later to give staff the time to complete further environmental review.
ATTACHMENTS:
1. Resolution
A. Conditions of Approval
B. Operations Plan
C. Site Plan
2. Location Maps
3. Planning Commission Resolution 19-122
4. Applicant’s Evidence in Support of the Required Findings
Applicant: Stephen Gieder, 1580 Nursery Rd. Ste. Q, McKinleyville, CA 95519
Owner: D&R Mille Family, 400 G Street Arcata, CA 95521
Agent: Karen Chew, 1580 Nursery Rd. Ste. Q, McKinleyville, CA 95519
Please contact Michael Kein, Associate Planner, at MKein2@co.humboldt.ca.us or 707-268-3749 if you have questions about this item.