December 11-12, 2019 Staff Summary

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December 11-12, 2019 Staff Summary Item No. 33 STAFF SUMMARY FOR DECEMBER 11-12, 2019 33. HOG ISLAND OYSTER COMPANY Today’s Item Information ☐ Action ☒ Consider approving amendments to Hog Island Oyster Company’s state water bottom lease numbers M-430-10, M-430-11, M-430-12 and M-430-15 for the purposes of aquaculture in Tomales Bay. Summary of Previous/Future Actions Approved Lease M-430-10 renewal for 25 years Nov 3, 2005; Santa Barbara Approved Lease M-430-11 renewal for 25 years Feb 8, 2008; San Diego Approved Lease M-430-12 renewal for 15 years Aug 3, 2011; Sacramento Approved Lease M-430-15 renewal for 15 years Dec 9-10, 2015; San Diego FGC received request for four lease amendments Feb 6, 2019; Sacramento FGC confirmed that continued operations were Jun 11, 2019; Redding authorized during amendment process Today approve amendments for four Leases Dec 11-12, 2019; Sacramento Background FGC has the authority to lease state water bottoms to any person for aquaculture for an initial lease term not to exceed 25 years (sections 15400 and 15405, California Fish and Game Code). Regulations require that any changes to existing leases must be approved by FGC (Section 237(c)(1), Title 14, California Code of Regulations). Hog Island Oyster Company (HIOC) currently cultures shellfish on four state water bottom leases (M-430-10, M-430-11, M-430-12 and M-430-15) for purposes of aquaculture in Tomales Bay under lease renewals approved by FGC between 2005 and 2015 for periods of 25 or 15 years. At its Feb 2019 meeting, FGC received a request from HIOC to amend the four leases to ensure consistency in the types of species and culture methods authorized, following its application to the California Coastal Commission (CCC) to update and consolidate coastal development permits for the lease areas (Exhibit 1). The culture species requested by HIOC for the four lease areas are Pacific oyster (Crassostrea gigas), Eastern oyster (Crassostrea virginica), Kumamoto oyster (Crassostrea sikamea), European flat oyster (Ostrea edulis), Olympia oyster (Ostrea lurida), Manila clam (Venerupis phillipinarum), and Mediterranean mussel (Mytilus galloprovincialis). The culture methods requested for the four lease areas are rack and bag, bottom bag, intertidal longlines, floating longlines, rafts and bottom trays; the request for bottom trays was later withdrawn by the lessee and is not considered further here. HIOC acknowledged inconsistencies in its current operations relative to lease authorizations, which it wishes to rectify through the proposed lease amendments; a comparison of desired versus authorized species and methods by lease are shown in Exhibit 2. In May 2019, FGC staff notified HIOC that it would be allowed to continue its current operations within the Author: Elizabeth Pope, Susan Ashcraft, and Michael Yaun 1 Item No. 33 STAFF SUMMARY FOR DECEMBER 11-12, 2019 existing, legally-defined lease boundaries for one year while the lease amendment process ensued (Exhibit 3); FGC affirmed this action at its Jun 2019 meeting. As part of the CCC’s CDP amendment process, the proposed species and methods were evaluated for environmental impacts. For purposes of the proposed CDP amendment, CCC prepared a substitute environmental document consistent with its certified regulatory program identified in the California Environmental Quality Act (CEQA) guidelines and codified in Section 15251 of Title 14, California Code of Regulations. In so doing, CCC determined that the project, as conditioned, incorporates measures necessary to avoid any significant environmental effects based on the CCC’s permit conditions (Exhibit 4). FGC staff and DFW have reviewed the CCC’s record on behalf of FGC as a responsible agency and concurs that no significant effects will result from the approval of the project based not only on the CDP conditions, but also the conditions in the draft lease amendments. Based on its review of the proposed culture species and methods, DFW supports authorizing the species and methods (excluding bottom trays) in the four lease areas for consistency, recognizing that FGC approval does not supersede permit conditions from other regulatory agencies (Exhibit 5). Subsequent to its application for lease amendments, HIOC notified FGC staff and DFW staff that it wishes to amend the boundary lines for two of the lease areas (M-430-10 and M-430- 12), consistent with its approved CDP; DFW staff will work with HIOC to resolve boundary inconsistencies and the request will be scheduled for FGC consideration at a later date. Significant Public Comments The Environmental Action Committee of West Marin supports the HIOC lease agreements as well as development of an aquaculture best management practices rulemaking (Exhibit 6). Recommendation FGC staff: Support the DFW recommendation. In exercising its own independent judgment, FGC can rely upon the California Coastal Commission’s substitute environmental document with FGC as a responsible agency under Section 15253 of the CEQA guidelines. DFW: Support the lease amendments for cultivating the species and methods requested by HIOC and evaluated under the California Coastal Commission’s CDP for leases M-430-10, M- 430-11, M-430-12, and M-430-15 for the purposes of aquaculture. Exhibits 1. Letter from John Finger, Hog Island Oyster Company, requesting lease amendments, received via email on Jan 30, 2019 2. Tables depicting authorized and desired species and methods for Hog Island Oyster Company leases 3. Letter from FGC to John Finger, Hog Island Oyster Company, dated May 30, 2019 4. Adopted Findings, Hog Island Oyster Company, Inc., California Coastal Commission, dated Feb 8, 2019 Author: Elizabeth Pope, Susan Ashcraft, and Michael Yaun 2 Item No. 33 STAFF SUMMARY FOR DECEMBER 11-12, 2019 5. DFW memo, dated Nov 19, 2019 6. Email letter from Morgan Patton and Ashley Eagle-Gibbs, Environmental Action Committee of West Marin, received Nov 26, 2019 Motion/Direction Moved by ___________ and seconded by __________ that the Commission has reviewed and considered the California Coastal Commission’s substitute environmental document and related documents, as well as the record before this Commission. This Commission has determined, consistent with Section 15253 of the CEQA implementing guidelines, that changes or alterations have been required through the coastal development permit which avoid any significant environmental effects as identified in the substitute environmental document and the project as approved will not have a significant effect on the environment due to coastal development permit conditions and the amended lease conditions. Therefore, this Commission approves the amendments to state water bottom leases with Hog Island Oyster Company, numbers M-430-10, M-430-11, M-430-12 and M-430-15, to allow for cultivation of the species and cultivation methods identified in the staff summary. OR Moved by ___________ and seconded by __________ that the Commission denies the application for lease amendments to the species and methods by Hog Island Oyster Company for state water bottom lease numbers M-430-10, M-430-11, M-430-12, and M-430-15 for purposes of aquaculture in Tomales Bay. Author: Elizabeth Pope, Susan Ashcraft, and Michael Yaun 3 Proposed Species and Culture Methods for Hog Island Oyster Company Lease Amendments List of species and culture methods currently authorized in each of four state water bottom lease areas held by Hog Island Oyster Company and proposed species and culture methods as requested in lease amendment application dated January 13, 2019. An "x” indicates either proposed in the lease amendment application or authorized under terms and conditions for the current lease. Table 1: Authorized and Proposed Species M-430-10 M-430-11 M-430-12 M-430-15 Species Name Proposed Authorized Authorized Authorized Authorized Manilla clam x x x x x Pacific oyster x x x x x Eastern oyster x x x x Kumamoto oyster x European flat oyster x x x x Olympia oyster x x x Mediterranean mussel x x Native oysters x x Red abalone x x Quahog clam x Native littleneck clams x Bay mussels x x Table 2: Authorized and Proposed Culture Methods M-430-10 M-430-11 M-430-12 M-430-15 Culture Method Proposed Authorized Authorized Authorized Authorized Rack and Bag x x x x x Bottom Bags x x Intertidal longlines (with bags/baskets) x Floating longlines x x Rafts x x Stakes and/or modified stakes x x Commissioners STATE OF CALIFORNIA Melissa Miller-Henson Eric Sklar, President Gavin Newsom, Governor Acting Executive Director Saint Helena P.O. Box 944209 Jacque Hostler-Carmesin, Vice President Sacramento, CA 94244-2090 McKinleyville Fish and Game Commission (916) 653-4899 Russell E. Burns, Member [email protected] Napa www.fgc.ca.gov Peter S. Silva, Member Jamul Samantha Murray, Member Del Mar Wildlife Heritage and Conservation Since 1870 May 30, 2019 John Finger, Co-founder and CEO Hog Island Oyster Co. 20215 Shoreline Highway Marshall, CA 94940 Sent via email to [email protected] Dear Mr. Finger: This letter is in response to your January 28, 2019 request to amend Hog Island Oyster Company’s state water bottom leases for four state tideland parcels in Tomales Bay (leases M-430-10, M-430-11, M-430-12, and M-430-15). Your request was received by the California Fish and Game Commission (Commission) at its February 6, 2019 meeting and, subsequently, the Commission forwarded your request to the California Department of Fish and Wildlife (Department) for review. Final action by the Commission will be scheduled once the environmental review pursuant to the California Environmental Quality Act (CEQA) is completed, and the Department has submitted its review and recommendations to the Commission. As stated in your letter, you are requesting to amend the list of culture methods and species currently authorized in each lease, to create a consistent set of culture methods and species authorized for the four lease areas; in essence, you are requesting to receive after-the-fact authorization for currently unauthorized species and culture practices.
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