PROJECT DESCRIPTION / LOCATION POTENTIAL AREAS OF ENVIRONMENTAL IMPACT

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2 PROJECT DESCRIPTION / LOCATION The proposed Matos Dairy Expansion project is located south of Bailey Avenue and east of S. Quinley Avenue, approximately three miles south of the City of Atwater in unincorporated Merced County. The existing active dairy facility and proposed expansion are located on a portion of a 63.9 acre parcel, with the entire dairy, including cropland, located on 18 parcels totaling 482 acres. Approximately 430 acres of the project site are currently used for the production of crops and application of manure process water. Conditional Use Permit CUP proposes to bring the existing dairy facility into compliance with Merced County s permit requirements, and to expand the existing dairy so that the modified dairy would house a total of 5,100 animals. This would represent an increase of 2,300 animals from existing numbers. The proposal would also include modifications to the active dairy facilities to accommodate the proposed herd increase, including the removal of an existing shade structure and milk barn, and the construction of two freestall barns, a milk barn, hay barn, sprinkler pen, open lot corrals, and additions to the two existing freestall barns. On December 20, 2012, the County issued a Building Permit to construct a new 11,467 square foot milk barn replacing the old milk barn. Construction of the proposed structures would convert approximately 11.3 acres of agricultural land from field crops to active dairy facilities, increasing the area of operation from 26 to 37.3 acres. POTENTIAL AREAS OF ENVIRONMENTAL IMPACT An initial evaluation of the proposed Matos Dairy Expansion project indicates that the project has the potential to result in significant adverse effects on the environment for the following issue areas: Air Quality and Odors Biological Resources Cultural Resources Greenhouse Gas Emissions and Energy Hazards Hydrology, Water Quality, and Soil Erosion Land Use Compatibility The Environmental Report will concentrate upon the impacts associated with these areas. In addition to the above, the Matos Dairy Expansion EIR will also include an analysis of project alternatives and cumulative effects.

3 INITIAL STUDY AND ENVIRONMENTAL EVALUATION Project Title: Project Location: Lead Agency Name and Address: Contact Person and Phone Number: General Plan Designation: Zoning: Matos Dairy Expansion Conditional Use Permit No. CUP S. Quinley Avenue Atwater, CA Merced County Planning and Community Development Department 2222 M Street Merced, CA David Gilbert, Planner III Phone: (209) Agricultural (Merced County General Plan) A-1 (General Agricultural; Merced County) 1. DESCRIPTION OF PROJECT The project under evaluation in this Initial Study (IS) is the expansion of an existing dairy facility located south of the City of Atwater in Merced County. LOCATION The proposed Matos Dairy Expansion project is located on 18 parcels totaling 482 acres in an unincorporated area of Merced County on the east side of S. Quinley Avenue and south of Bailey Avenue, approximately three miles south of the City of Atwater. The project s location is within the central California region (see Figures 1 and 2). The project area of active dairy facilities is located on a portion of one parcel, identified as Merced County Assessor s Parcel Number (APN) (63.9 acres). The project cropland application area is located on portions of the 63.9-acre active dairy facility parcel and 17 parcels situated to the northwest, south, and west of the active dairy facility (APNs , , , , , , , , , , , , , , , , ) (see Table 1 and Figure 3). The project site is located in Section 26, Township 7 South, Range 13 East, Mount Diablo Base and Meridian; 37 17ʹ 05.22ʺ N, ʹ 36.38ʺ W. Initial Study Matos Dairy Expansion CUP Page 1

4 132 Modesto 99 O. C US LA O. S I N C STA RCED E M nj Sa Turlock in qu oa ve Ri r Atwater 99 Quinley Ave. 140 San Luis 140 Nat. Wildlife Refuge N 140 Merced Project Area CO. CED MER O. NO C FRES 152 Los Banos 33 Matos Diary Expansion CUP SOURCE: Planning Partners, December 2012 Figure 1 Regional Location

5 Buhach Rd. Quinley Ave. 140 Stockton Ave. Brooks Rd. MID Canal Black Rascal Creek Bailey Ave. Bear Creek Oak Ave. Existing and Proposed Dairy Facilities MI D Canal Project Site Dairy Facility N South Slough W. Dickenson Ferry Rd. SOURCE: Merced County December 2012; Planning Partners November 2012; Google Earth Imagery 2012 Matos Diary Expansion CUP Figure 2 Project Location

6 SOURCE: Merced County GIS Map, December 2012 Matos Diary Expansion CUP Figure 3 Project Site Assesssor Parcel Numbers

7 Project Description EXISTING CONDITIONS The existing animal confinement facility is located on an approximate 26-acre portion of the 482- acre project site. The existing facilities include the following: - two freestall barns - open corral - shade structure - feed storage area - milk barn - wastewater storage pond - silage slab - two settling basins - five employee residences - commodity barn - three groundwater wells There are approximately 116,892 square feet of structures that make up the existing active dairy facilities. Approximately 430 acres of the project site are currently used for the production of crops and the application of manure process water and/or solid manure (see Table 1). As shown in Table 1, the project applicant owns a portion of the cropland used for the dairy, and leases additional cropland in the surrounding area from other property owners for the application of wastewater and/or dry manure. While the exact location of these owned and leased parcels may vary throughout operations, the disposal of solid manure and/or wastewater at off-site locations is accounted for in the project Nutrient Management Plan (NMP). The remaining 26 acres of the project site consist of ancillary dairy facilities, including on-site roadways. Initial Study Matos Dairy Expansion CUP Page 5

8 Project Description Table 1 Project Parcels, Acreage, and Use APN Field Name Gross Acreage Dairy Owned Operational and Cropland Acres 1 Cropped Acreage Dairy active dairy facilities, five employee residences Walnut cropland (walnuts) cropland (walnuts) Dad s cropland (corn silage; oat silage) Use cropland (corn silage; oat silage) Melo cropland (corn silage; oat silage) Dairy Leased Land Application Areas cropland (corn silage; oat silage) Lema cropland (corn silage; oat silage) Sotelo cropland (corn silage; oat silage) Heller 22.4 cropland (corn silage; oat silage) cropland (corn silage; oat silage) cropland (corn silage; oat silage) Buhach cropland (corn silage; oat silage) Lema cropland (corn silage; oat silage) cropland (corn silage; oat silage) cropland (corn silage; oat silage) Lema cropland (corn silage; oat silage) Lema cropland (corn silage; oat silage) Total cropland (corn silage; oat silage) APN = Assessor s Parcel Number 1 Dairy facility acreage is based on the remainder of the parcel considering cropped acreages listed in the NMP dated November 19, Land application acreage is based on the NMP dated November 19, * Nutrients may not be applied to the entire acreage of the parcel listed; rather the corresponding field acreage listed. Source: Application Materials, May Project Applicant, November 2012; Nutrient Management Plan November Domestic water is delivered to the site by on-site water wells. Irrigation water is supplied by Merced Irrigation District (MID) canal surface water and three groundwater wells on the project site. As established at the time of Initial Study preparation (December 2012), there are approximately 2,800 animals at the dairy (1,000 milk cows and 1,800 support stock). Table 3 below shows a breakout of the existing dairy herd by age-class. All cows housed at the dairy are Jersey cows. The existing facility consists of flush and scrape systems that are used to collect and process wastewater and solid manure. Animal wastes from freestall and other concrete-surfaced areas are flushed to an on-site waste management system that consists of two settling basins and one wastewater storage pond (retention pond). The area of active dairy facilities has been graded to direct corral runoff to the existing waste management system. Stormwater runoff from the roofed area of the shade structure and the two freestall barns is routed to the wastewater ponds. Page 6 Initial Study Matos Dairy Expansion CUP12-014

9 Project Description Stormwater runoff from the two milk barns is routed to roadside ditches. Solid manure within corral areas is scraped. Wastewater is mixed with irrigation water and applied to cropland. Receiving fields are graded to guide excess applied irrigation water to an existing tailwater system using berms and irrigation ditches, with some fields using tailwater return and some using tailwater retention. Dry manure is separated from liquids, accumulated on site, and processed for application to cropland or hauled off site as piles accumulate for use as fertilizer and soil amendments. Corrals are scraped at least two times per year prior to solids reaching 12 inches in depth. Approximately 22 percent of dry solid manure is exported and applied to off-site fields in the project vicinity. The remaining dry solid manure is stockpiled in uncovered piles and applied to the project site. All of the crops grown on site are used for dairy feed crops and supplement imported grain and hay. Feed is stored in silage piles and an on-site commodity barn. Operations at the dairy are 24 hours per day, 365 days per year, with most operations concentrated during daylight hours. The dairy currently employs a staff of approximately seven workers. Currently, the site is served by heavy trucks (milk tankers, commodity deliveries) and other vehicles. Existing daily trips by all classes of vehicles are estimated at 58.5 average daily trips (ADT), with approximately 2.5 heavy truck trips. All trips currently access S. Quinley Avenue. Regional access is provided by State Route 140 to the north. The dairy currently provides 10 parking spaces within an 8,410 square-foot parking area; no handicap spaces are provided. The existing dairy facility is landscaped. The dairy facility does not store gasoline or diesel fuel in any above ground or below ground storage tanks. There is one diesel generator on site. SURROUNDING LAND USES AND SETTING There are off-site single-family residences associated with other off-site agricultural operations located on parcels to the north, south, and west of the project site (see Table 2 and Figure 4). There are several off-site residences located within the windshed of the dairy (defined as an area of 1,320 feet upwind to 2,640 downwind of the periphery of the animal facility). The closest off-site residences are located approximately 1,120 feet and 1,140 feet to the north of the active animal facilities along Bailey Avenue (see Figure 4). A heifer facility is located approximately 60 feet to the west at the southwest corner of S. Quinley Avenue and Bailey Avenue. Several other dairy facilities are located approximately one-quarter to one-half mile to the northwest, southwest, and southeast of the project site. There are also several water canals, laterals, and drains in the project vicinity, including the South Slough and Nealon lateral to the south, the Deckart lateral to the west, and the Pilger lateral and the Steiner drain to the southeast. The City of Atwater is located approximately three miles to the north of the existing active dairy facilities. There are five on-site residences located at the dairy facility. Initial Study Matos Dairy Expansion CUP Page 7

10 1320' 1320' Buhach Rd. Quinley Ave. PREVALENT WIND DIRECTION 140 Stockton Ave. Brooks Rd. Off-Site Residences Off-Site Residence Off-Site Residence Bailey Ave. Black Rascal Creek Oak Ave. MID Canal 1320' 1320' On-Site Residence 1320' On-Site Residence Area of Existing and Proposed Active Dairy Facilities 1980' On-Site Residences Off-Site Residences 1320' 1980' Off-Site Residences 1320' On-Site Residence 1980' 1980' 2640' Off-Site Residences MID Bear Creek Canal Off-Site Residences N South Slough Off-Site Residences W. Dickenson Ferry Rd. SOURCE: Planning Partners Site Visit, October 2012; Google Earth Imagery 2012 Matos Diary Expansion CUP Figure 4 Active Dairy Facilities and Nearby Residences Located in the Windshed

11 Project Description Table 2 Surrounding Land Uses at the Matos Dairy Location Land Use General Plan Zoning ON SITE Dairy / Agriculture / 5 employee residences Agricultural General Agricultural A-1 NORTH Agriculture / Residences / Dairy Agricultural General Agricultural A-1 EAST Agriculture / Residences / Dairies Agricultural General Agricultural A-1 SOUTH Agriculture / Residences / Dairies Agricultural General Agricultural A-1 WEST Heifer Facility /Agriculture / Residences / Dairies Agricultural General Agricultural A-1 Source: Application Materials; June 2012; Project Site Visit, October 18, 2012; Project Applicant, October Project details such as adjacent land uses and cropping patterns could change over the course of evaluation, and from those existing at the time of this Initial Study; however, these changes would consist of agricultural and ancillary uses consistent with the Merced County General Plan, and would not affect the analysis contained in this Initial Study. PROJECT PERMITTING HISTORY There is no record of existing permits on file from Merced County. The dairy operator estimates the facility has been in operation since To bring the existing dairy facility into compliance with Merced County permit requirements and allow for future growth, the applicant has submitted an application for issuance of a new Conditional Use Permit (CUP12-014) from the County. It is this action that is the subject of this Notice of Preparation and the resulting EIR. Both the Central Valley Regional Water Quality Control Board (CVRWQCB) and the San Joaquin Valley Air Pollution Control District (SJVAPCD) also regulate the existing dairy and will be required to use the County s EIR in their consideration of the proposed dairy expansion. The CVRWQCB regulates the existing dairy under the General Order for Existing Milk Cow Dairies (Order No. R ). Coverage under the General Order for Existing Milk Cow Dairies requires approval and implementation of a NMP for the application of waste to land application areas, and a Waste Management Plan (WMP) to ensure proper compliance with the General Order. As established by the Report of Waste Discharge (ROWD) submitted for the existing dairy to the CVRWQCB in October 2005, the State-permitted herd size for the dairy is 943 milk and dry cows combined 1, with regulatory review required for expansions of greater than 15 percent above this value. To permit the proposed expansion, the CVRWQCB would be required to issue Individual Waste Discharge Requirements (WDR) for the operation. An Authority to Construct (ATC) for the dairy facility was issued on January 10, 2012 to allow construction to house a total of 2,270 milk cows and to allow for a combined total of 2,500 mature cows (milk and dry) and 1,500 support stock (heifers, calves, and bulls). A Permit to Operate (PTO) and Conservation Management Plan (CMP) was issued for the Matos Dairy on March 7, 2012 (Permit Number N ). The PTO allows a 2,270 cow milking operation with one 16-stall herringbone milking parlor, cow housing for up to 2,500 mature cows and 1,500 support stock, two freestall barns with a flush system, and a liquid manure handling system, stock piles, silage piles, and feed storage areas. The applicant may need to modify the ATC and PTO from the SJVAPCD for 1 The CVRWQCB regulates only mature cows (milk and dry) and does not establish any limits on calves, heifers, and other support stock. Initial Study Matos Dairy Expansion CUP Page 9

12 Project Description the expanded herd and modification of existing facilities, as well as a modification of the dairy farm s existing CMP. PROJECT CHARACTERISTICS The project sponsor has applied for a new Conditional Use Permit (CUP12-014) from Merced County to bring the existing dairy facility into compliance with Merced County s permit requirements, and to expand the existing dairy so that the modified dairy would house a total of 5,100 animals (see Table 3). This would represent an increase of 2,300 animals from existing numbers. Table 3 Existing and Proposed Herd at the Matos Dairy Milk Cows Dry Cows Bred Heifers (15-24 mo.) Heifers (7-14 mo.) Calves (4-6 mo.) Calves (0-3 mo.) Mature Bulls Total Animals Existing 1, ,800 Proposed 2, , ,100 Change 1, ,300 Note: This evaluation considers maximum buildout, which may be refined for the EIR stage of analysis. Source: Project Applicant, October The proposed project would include the removal of the existing shade structure and milk barn and the construction of a new milk barn, two freestall barns, sprinkler pen, fresh water basin, hay barn, a concrete slab, hay barn, and two additions to existing freestall barns. On December 20, 2012, the County issued a Building Permit to construct a new 11,467 square foot milk barn replacing the old milk barn. The existing septic system would also be removed and replaced with a new system. New facilities would consist of approximately 190,000 square feet of construction for a total of 304,137 square feet of structures. Construction of the proposed structures would convert approximately 11.3 acres of agricultural land from field crops to active dairy facilities, increasing the area of operation from 26 to 37.3 acres. See Figure 5 for the dairy site plan and Figure 6 for the layout of the dairy fields and other facilities. Figure 7 shows a cross-section of a freestall dairy barn and Figure 8 illustrates the processes that occur at a dairy farm. Animal wastes from freestall and other concrete-surfaced areas would continue to be flushed to an on-site waste management system, except for solid manure within corral areas, which would continue to be scraped. Liquid manure would continue to be directed to the settling basin and then treated in the wastewater storage pond. Stormwater runoff from the roofed area of the hay barn would be routed to the wastewater pond. Stormwater runoff from all other roofed areas would be routed to the new fresh water basin. Page 10 Initial Study Matos Dairy Expansion CUP12-014

13 SOURCE: The Source Group, Inc. November 2012 Matos Diary Expansion CUP Figure 5 Dairy Site Plan

14 SOURCE: The Source Group, Inc. November 2012 Matos Diary Expansion CUP Figure 6 Project Site Dairy Fields

15 Water Trough Free Stall Free Stall Feed Stanchion Free Stall Free Stall Water Trough CORRAL CORRAL WALK LANE Bedding FEED LANE DRIVE LANE FEED LANE Bedding WALK LANE SOURCE: Planning Partners 2012 Matos Diary Expansion CUP Figure 7 Freestall Dairy Barn Schematic Cross-Section

16 Cow Excrement Supplemental Feed Fed to cows Flushed from barns and feeding areas Separator/ Settling basin Solids Silage Lagoon Harvested Distributed in irrigation water Crops SOURCE: Planning Partners 2012 Matos Diary Expansion CUP Figure 8 Process Diagram

17 Project Description Wastewater would continue to be mixed with irrigation water and applied to the land. With the conversion of 11.3 acres of existing cropland for the construction of new active dairy facilities, the majority of APN would consist of dairy facilities. There would be approximately 418 acres remaining for walnuts, oats, silage-soft dough, corn, and other silage cropland available for disposal of dairy wastewater. Dry manure would continue to be separated from liquids, accumulated on site, and processed for application to cropland or sold and hauled off site for use as fertilizer and soil amendments. Approximately 22 percent of dry manure is currently exported; dry manure exports would increase to 40 percent under proposed conditions. As reported in the NMP, approximately 13,000 tons of solid manure would be exported off site with the proposed dairy expansion. Corrals would continue to be scraped at least two times per year prior to solids reaching 12 inches in depth. With the exception of the proposed replacement septic system, the proposed project would rely on existing utilities, including domestic water, stormwater, and electrical services. No additional utilities would be required. Operations at the dairy would continue to occur 24 hours per day, 365 days per year, with most operations concentrated during daylight hours. With implementation of the proposed project, the number of employees would increase from seven to approximately eight workers. Circulation and Parking The project site would continue to be served by heavy trucks (milk tankers, commodity deliveries), and other vehicles. Daily trips by all classes of vehicle are estimated to increase from 58.5 to 63.4 average daily trips, with an approximate increase of 1.9 heavy truck trips (see Table 4 below). The majority of trips would consist of auto and light truck trips. All trips would continue to access S. Quinley Avenue. The proposed project would not include additional parking; the existing 10 parking spaces would remain. Initial Study Matos Dairy Expansion CUP Page 15

18 Project Description Table 4 Matos Dairy Expansion Project Trip Generation and Assignment Trip Type/Purpose Residential Dwellings (on-site) Employees (off-site) Daily Trip Generation Factor 9.5/residence *See Note 1 3/employee *See Note 2 Type of Vehicle Auto/Light Truck Auto/Light Truck Daily Trips Existing With Project Local Route of Trip S. Quinley Ave 6 9 S. Quinley Ave Milk Tanker *See Note 3 Heavy Truck 1 2 S. Quinley Ave Commodities transport from off-site *See Note 4 Heavy Truck S. Quinley Ave Solid manure transport to off-site fields *See Note 5 Heavy Truck S. Quinley Ave Rendering Service *See Note 6 Medium Truck S. Quinley Ave Veterinarian 1/week Light Truck S. Quinley Ave Purveyor sales 2/facility office Auto/Light Truck Total Auto/Light Truck Trips Total Medium Truck Trips Total Heavy Truck Trips Total Trips S. Quinley Ave Notes: Trip Generation table based on Planning Partners assumptions and information obtained from project applicant. 1. There are 5 existing occupied residential dwellings located on site. 2. There are currently 7 employees, and one employee proposed for a total of 8 employees. Because 5 employees currently reside on site, there would be a total of 3 employees residing off site with the proposed expansion. 3. There are 7 milk tanker truck trips to the dairy per week, and there would be 14 with the proposed expansion. 4. There are 4 commodity truck trips from off-site per week, and there would be 5 with the proposed expansion. 5. Currently, approximately 6 diesel trucks export dry manure to off-site fields per week; under proposed operations, approximately 12 diesel trucks would export dry manure to off-site fields per week. 6. There are approximately 2 truck trips per week for rendering service and approximately 1 truck trip per week for the export of springer heifers, for a total of 3 truck trips per week. There would be 3 truck trips per week with the proposed expansion. Source: Planning Partners October Project Applicant, October ESTABLISHING THE PROPER BASELINE FOR THE PROPOSED DAIRY EXPANSION To determine whether an impact is significant, a baseline set of environmental conditions is required against which agencies can assess the significance of project impacts. As established by California Environmental Quality Act (CEQA) Guidelines Section 15125(a), the existing environmental setting, usually established at the time a Notice of Preparation is issued, should normally constitute the baseline. Therefore, the impacts of a proposed project are ordinarily to be compared to the actual environmental conditions existing at the time of CEQA analysis, rather than to allowable conditions defined by a plan or regulatory framework (Communities for a Better Environment v. South Coast Air Quality Management District (2010) 158 Cal.App.4th 1336). Essentially, prior operating permits or permit levels do not in themselves establish a baseline for CEQA review of a new project. As most recently set forth in Communities for a Better Environment v. South Coast Air Quality Management District, a long line of California Court of Appeals decisions has upheld this line of Page 16 Initial Study Matos Dairy Expansion CUP12-014

19 Project Description reasoning, including cases where a plan or project allowed for greater development or more intense activity than had so far actually occurred, as well as cases where actual development or activity had, by the time CEQA analysis was begun, already exceeded that allowed under the existing regulations. In the case of the Matos Dairy Expansion project, the current permitted limit for the dairy is 943 milk and dry cows combined, as established in the 2005 ROWD for the CVRWQCB. The existing operations are unpermitted by the County. However, while the existing herd exceeds these numbers, in accordance with CEQA, the baseline herd to be used in this environmental analysis is the herd count at the time of NOP is circulated, comprising a total of 2,800 animals, including 1,000 milk cows. REQUIRED APPROVALS, OTHER PROCESSES, AND CONSULTATIONS A listing and brief description of the regulatory permits and approvals required to implement the proposed project is provided below. This environmental document is intended to address the environmental impacts associated with all of the following decision actions and approvals. Merced County and Other Local and Regional Agencies Merced County The County has the following permitting authority related to the proposed Matos Dairy Expansion project: Preparation and approval of an Environmental Report - Merced County will act as the lead agency as defined by CEQA, and will have authority to determine if the Environmental Report is adequate under CEQA. Approval of the Conditional Use Permit - Merced County will consider the proposed dairy project as a Conditional Use Permit. Conditional Use Permits are discretionary permits for uses of land that require special review to ensure that they are compatible with the neighborhood and surrounding residences. They are considered more likely to affect surrounding land uses than uses permitted by right in a zoning district or those uses permitted under Administrative Permits. Building Permit - Merced County will require a building permit for the proposed dairy expansion project. Demolition Permit - Merced County will require a demolition permit to remove the existing shade structure and milk barn. Encroachment Permit - The Merced County Department of Public Works will require an Encroachment Permit to allow the applicant to improve all driveways used by heavy truck operations associated with the dairy with either paved or concrete approaches onto the adjacent County roadway, in accordance with Chapter 7 of the Merced County Department of Public Works Improvement Standards and Specifications. Septic systems - The Merced County Division of Environmental Health (DEH) will require the submission and review of a plot plan that shows the existing septic system proposed for removal, and the replacement septic systems, including leach line replacement areas. Initial Study Matos Dairy Expansion CUP Page 17

20 Project Description Hazardous Material Business Plan (HMBP) - The on-site storage of any hazardous material over threshold quantities (55 gallons; 200 cu. ft.; or 500 pounds) would require a HMBP to be filed with the Merced County DEH. Any quantity of hazardous waste generated on site also requires that a HMBP be filed. San Joaquin Valley Air Pollution Control District Authority to Construct / Permit to Operate The owner or operator of any facility or activity (including agricultural activities) that emits criteria air pollutants or their precursors above certain thresholds must first obtain an ATC from the SJVAPCD. All new sources exceeding thresholds will be required to apply for an ATC and PTO; this essentially is one permit that is issued in two steps. The applicant first obtains an ATC with specific conditions for implementation during construction; then an inspection is completed and, if all the conditions of the ATC are met during construction, the applicant is issued a PTO. The applicant may need to modify the ATC and PTO from the SJVAPCD for the expanded herd and modification of existing facilities. Beyond the ATC and PTO, preparation of an Air Quality Assessment (AQIA) would be required, in addition to compliance with other SJVAPCD regulations. Conservation Management Practices Plan The owner or operator of any agricultural facility of 100 acres or more, or an animal confinement facility in excess of 500 mature cows (for a dairy operation), must submit a CMP plan to the SJVAPCD prior to June 30, 2004 for existing uses, and prior to operation for proposed uses. The Matos Dairy project will be submitting a modification request to their existing CMP Plan based on their proposed expansion. A CMP plan requires that farm operators implement dust reduction practices for each of the following categories: harvest; unpaved roads; unpaved equipment/vehicle yards; and, other. One CMP Plan must be submitted for each crop currently being grown, or each crop that will be grown within the two-year time frame of each Plan. State of California State agencies have the following permitting authority related to the proposed Matos Dairy Expansion project: State Water Resources Control Board General Construction Activity The State Water Resources Control Board (SWRCB) has adopted a General Construction Activity Storm Water Permit for storm water discharges associated with any construction activity, including clearing, grading, excavation, reconstruction, and dredge and fill activities, that results in the disturbance of at least one acre of total land area, or whose projects disturb less than one acre but are part of a large common plan of development that disturbs one or more acres. All dischargers are required to obtain coverage under the Construction General Permit Order DWQ. This General Permit has developed specific Best Management Practices (BMP) and requires a Storm Water Pollution Prevention Plan (SWPPP). Following submittal of a Notice of Intent package and development of a SWPPP in accordance with the Construction General Permit, the applicant will receive a Waste Discharge Identification Number from the State Board. Page 18 Initial Study Matos Dairy Expansion CUP12-014

21 Project Description Regional Water Quality Control Board - Central Valley Region Waste Discharge Requirements The owner or operator of any facility or activity that discharges, or proposes to discharge, waste that may affect groundwater quality or from which waste may be discharged in a diffused manner (e.g., erosion from soil disturbance) must first obtain a WDR permit from the CVRWQCB. The CVRWQCB regulates discharges from dairies and other confined animal facilities according to the antidegradation requirements of the Porter-Cologne Water Quality Control Act and the Water Quality Control Plan for the Sacramento River and San Joaquin River Basins. The CVRWQCB will be issuing Individual WDRs for the Matos Dairy Expansion. Federal Government No permitting from federal agencies would be required. PROJECT CONSTRUCTION AND PHASING Construction of the proposed expansion is scheduled to begin upon approval of the Conditional Use Permit. The project would be constructed in two phases. The first phase would involve the removal of the existing shade structure and milk barn and the construction of a new milk barn, central freestall barn, and extensions to the existing freestall barns. The second phase would involve the construction of the north freestall barn, concrete slab, and hay barn. APPLICATION OF THE MERCED COUNTY ANIMAL CONFINEMENT ORDINANCE AND ZONING CODE On October 22, 2002, Merced County adopted revisions to the County s Animal Confinement Ordinance (ACO). Additional revisions to the Merced County ACO and Merced County Code Chapter (Zoning Code Agricultural Zones) were adopted on February 8, (The Merced County ACO is included as a section of Title 18 Zoning of the Merced County Code.) The ACO regulates the design, construction, and operation of animal confinement facilities within the county. Because the ACO is regulatory rather than permissive, all existing and proposed animal confinement facilities within the county are required to comply with the terms of the ACO, including the proposed Matos Dairy Expansion project. Following is a summary of major ACO provisions. Copies of the complete text of the ACO are available from: the Merced County Division of Environmental Health, 260 E. 15 th Street, Merced, California, 95340; the Merced County Planning and Community Development Department, 2222 M Street, Merced, California 95340; and on the County s Internet site at < Merced County s ACO provides environmental compliance regulations that affect dairies and other animal confinement facilities in Merced County. The ACO requires that all animal confinement facilities, existing and new, complete and implement a Comprehensive Nutrient Management Plan (CNMP). For existing animal confinement facilities, CNMPs must be completed by December 31, 2006, and for the construction of a new facility, or for modification or expansion of an existing animal confinement facility, the CNMP must be completed prior to construction. The purpose of the CNMP is to ensure a balance between manure/wastewater application and nutrient uptake by Initial Study Matos Dairy Expansion CUP Page 19

22 Project Description crops in order to minimize impacts to groundwater. Since adoption of the ACO, the CVRWQCB has issued new requirements for preparation of a NMP and WMP, which would serve in place of the CNMP as allowed by County Code Chapter K. In addition to the CNMP, the ACO includes measures designed to increase protection of surface and groundwater resources. Both liquid and dry manure are regulated by the ACO under detailed management requirements. For example, the ACO prohibits the storage or application of manure (liquid or dry) within 100 feet of a surface water body or irrigation well unless adequate protection is provided. Dry manure storage and application is regulated to prevent groundwater or surface water contamination. In addition, the liquid manure management system must include provisions for appropriate cropland application and collection of tailwater from cropland irrigated with liquid manure. The ACO requires that all off-site discharge of drainage water from cropland application areas meet the discharge and receiving water standards of the appropriate irrigation or drainage district and the CVRWQCB. The ACO also includes design and management provisions for the construction of retention ponds and settling basins to prevent groundwater contamination, obnoxious odors, or excessive fly or mosquito breeding. The retention pond provisions of the ACO apply only to new or expanding animal confinement facilities. The ACO measures for retention ponds and settling basins include capacity requirements, maintenance guidelines, size restrictions, and minimum design standards of 10-6 centimeters per second seepage velocity or less. To prevent nuisances from odors or vectors, the ACO requires animal confinement facilities to implement both odor control measures and a vector control plan. The need for specific control measures is determined by the Merced County DEH on a site-specific basis. Additionally, the ACO prohibits the location of new animal confinement facilities within one-half mile of urban areas or areas zoned for residential uses, or concentrations of rural residences. To provide additional protection from the nuisances mentioned above, the ACO generally prohibits the location of animal confinement facilities within 1,000 feet of an off-site residence, unless written permission from the off-site resident or property owner is given. To ensure compliance with the provisions of the ACO, the ACO requires routine inspections of animal confinement facilities by the Merced County DEH. Enforcement of the provisions contained in the revised ACO is conducted by Merced County DEH and the Planning and Community Development Department. In addition, the ACO includes penalties for any person who violates or fails to comply with the provisions of the ACO. TIERING FROM THE MERCED COUNTY ANIMAL CONFINEMENT ORDINANCE EIR Tiering refers to the relationship between a program-level EIR (where long-range programmatic cumulative impacts are the focus of the environmental analysis) and subsequent environmental analyses such as this subject document, which focus primarily on issues unique to a smaller project within the larger program or plan pursuant to Section of the State CEQA Guidelines. Tiering focuses the environmental review on the project-specific significant effects that were not examined in the prior environmental review or are susceptible to substantial reduction or avoidance by specific revisions in the project, by the imposition of conditions, or by other means. The tiering concept will be discussed more fully in the EIR for this project. Page 20 Initial Study Matos Dairy Expansion CUP12-014

23 Project Description In the case of the Matos Dairy Expansion project, the environmental analysis for this Initial Study is tiered from the EIR for the Merced County Animal Confinement Ordinance Revision. The Merced County Board of Supervisors certified the EIR and adopted the revised ACO on October 22, 2002 (SCH # ). The environmental conclusions of the 2002 EIR were subsequently reconfirmed in an Addendum to the EIR prepared and certified by the County on February 8, The ACO regulates the design, construction, and operation of animal confinement facilities within the County; all existing and proposed animal confinement facilities within the County are required to comply with the terms of the Ordinance, including the Matos Dairy Expansion project. To reflect this, the requirements of the Ordinance and conclusions of the environmental analysis contained in the ACO EIR were incorporated in this Initial Study. The ACO EIR comprehensively evaluated the potential environmental effects of implementing the revisions to the ACO and from approval of new or expanding animal confinement facilities. The ACO EIR identified a number of mitigation measures that would reduce the magnitude of these potential effects. Those measures were subsequently adopted by the County as conditions of approval for the revisions to the ACO, and a Mitigation Monitoring and Reporting Program was adopted. Because the Matos Dairy Expansion project is subject to the requirements of the ACO for new and expanding animal confinement facilities, those previously adopted mitigation measures and conditions apply to the Matos Dairy Expansion project, and would continue to apply after approval of the currently requested actions. Therefore, the Matos Dairy Expansion project is related to the ACO EIR and, pursuant to Section 15152(a) of the CEQA Guidelines, tiering of environmental documents is appropriate. The 2002 ACO EIR can be reviewed at the following location: Merced County Division of Environmental Health 650 E. 15 th St. Merced, California Based on the reasoning set forth above, this environmental evaluation implements, and is consistent with, mitigation measures and study protocols adopted by Merced County in its certification of the EIR for Revisions to the ACO and its approval of the Revised Ordinance. Because of its importance relative to understanding the environmental analysis that has occurred to date with respect to the potential environmental impacts associated with the construction and operation of animal confinement facilities in Merced County, the ACO EIR is hereby incorporated by reference pursuant to CEQA Guidelines Section as though fully set forth herein. Initial Study Matos Dairy Expansion CUP Page 21

24 Analysis of s 2. ENVIRONMENTAL ANALYSIS PURPOSE AND LEGAL BASIS FOR THE INITIAL STUDY As a public disclosure document, this Initial Study also provides local decision makers and the public with information regarding the environmental impacts associated with the proposed project. According to Section of the CEQA Guidelines, the purpose of an Initial Study is to: 1. Provide the Lead Agency with information to use as the basis for deciding whether to prepare an EIR or a Negative Declaration. 2. Enable an applicant or Lead Agency to modify a project, mitigating adverse impacts before an EIR is prepared, thereby enabling the project to qualify for a Negative Declaration. 3. Assist in the preparation of an EIR, if one is required by: a. Focusing the EIR on the effects determined to be significant, b. Identifying the effects determined not to be significant, c. Explaining the reasons for determining that potentially significant effects would not be significant, and d. Identifying whether a program EIR, tiering, or another appropriate process can be used for analysis of the project s environmental effects. 4. Facilitate environmental assessment early in the design of a project. 5. Provide documentation of the factual basis for the finding in a Negative Declaration that a project will not have a significant effect on the environment. 6. Eliminate unnecessary EIRs. 7. Determine whether a previously prepared EIR could be used with the project. INITIAL ENVIRONMENTAL CHECKLIST Following each major category in the Initial Study, there are four determinations by which to judge the project s impact. These categories and their meanings are shown below: No means that it is anticipated that the project will not affect the physical environment on or around the project site. It therefore does not warrant mitigation measures. Less-than-significant means the project is anticipated to affect the physical environment on and around the project site, however to a less-than-significant degree, and therefore not warranting mitigation measures. with Mitigation Incorporated applies to impacts where the incorporation of mitigation measures into a project has reduced an effect from Potentially to Less Than. In such cases, and with such projects, mitigation measures will be provided including a brief explanation of how they reduce the effect to a less-than-significant level. Potentially means there is substantial evidence that an effect is significant, and no mitigation is possible. Page 22 Initial Study Matos Dairy Expansion CUP12-014

25 Analysis of s ENVIRONMENTAL FACTORS POTENTIALLY AFFECTED The environmental factors checked below would be potentially affected by this project, including several impacts that could result in a Potentially as indicated by the checklist on the following pages. Aesthetics Agriculture and Forestry Resources Air Quality Biological Resources Cultural Resources Geology / Soils Greenhouse Gas Emissions Hazards & Hazardous Materials Land Use / Planning Mineral Resources Noise Hydrology / Water Quality Population and Housing Public Services Recreation Transportation / Traffic Utilities / Service Systems Mandatory Findings of Significance Initial Study Matos Dairy Expansion CUP Page 23

26 Analysis of s I. AESTHETICS Would the project: Potentially with Mitigation Incorporated No a) Have a substantial adverse effect on a scenic vista? b) Substantially damage scenic resources, including, but not limited to, trees, rock outcroppings, and historic buildings within a state scenic highway? c) Substantially degrade the existing visual character or quality of the site and its surroundings? d) Create a new source of substantial light or glare which would adversely affect day or nighttime views in the area? The project site is currently in agricultural use (agricultural crops and an existing dairy) and surrounded by agricultural uses and associated residences. Question a: No. Viewers outside the project site are limited to motorists on perimeter roadways and residents of surrounding agricultural facilities and operations. No scenic vista is visible from the project site; nor is the site visible from any nearby scenic vista. The Merced National Wildlife Refuge is located approximately four miles southwest of the project site; however, visitors to the Merced National Wildlife Refuge cannot see the project area because of the distance between the project site and the refuge, flat topography, and intervening riparian vegetation. Because the proposed dairy expansion would not affect a scenic vista, no impact would result with implementation of the project. Question b: No. No state- or locally-designated scenic highway is visible from the project site; nor is the site visible from any nearby designated scenic highway (Caltrans 2007). Further, no important scenic resources are located on the project site. Because the project site is not located within the viewshed of a designated scenic highway, there would be no damage to scenic resources, and no impact would result with implementation of the dairy expansion project. Question c: Less-than-significant. Developed agricultural facilities in the vicinity range from irrigated cropland to confined animal facilities, including a heifer facility located approximately 60 feet to the west and several other dairy facilities located approximately one-quarter mile to onehalf mile to the northwest, southwest, and southeast of the project site. Though the existing dairy facilities are visible from perimeter roads, their appearance is a common sight in rural areas of Merced County, and the visual effects of the animal confinement facilities are reasonable and expected in the context of the Agriculture land use designation. The proposed project would appear similar to existing facilities in the project area, and would be considered common and appropriate to the region by most viewers. Since the proposed project is consistent with the existing and planned agricultural uses of the area, implementation of the project would not degrade the existing visual character of the site or surroundings. Page 24 Initial Study Matos Dairy Expansion CUP12-014

27 Analysis of s Question d: Less-than-significant. The project may add an additional source of light to the area for new security lighting. While there are sensitive receptors for nighttime light and glare, such as residences, located to the north and west of the proposed active dairy operations, County standards require that all new lighting be directed away from or be properly shaded to eliminate light trespass or glare within a project or onto surrounding properties. Compliance with County requirements would reduce any light and glare effects to less-than-significant levels. Initial Study Matos Dairy Expansion CUP Page 25

28 Analysis of s II. AGRICULTURE AND FOREST RESOURCES Would the project: Potentially with Mitigation Incorporated No a) Convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance (Farmland), as shown on the maps prepared pursuant to the Farmland Mapping and Monitoring Program of the California Resources Agency, to non-agricultural use? b) Conflict with existing zoning for agricultural use, or a Williamson Act contract? c) Conflict with existing zoning for, or cause rezoning of, forest land (as defined in Public Resources Code Section 12220(g)), timberland (as defined by Public Resources Code Section 4526), or timberland zoned Timberland Production (as defined by Government Code Section 51104(g))? d) Result in the loss of forest land or conversion of forest land to non-forest use? e) Involve other changes in the existing environment which, due to their location or nature, could result in conversion of Farmland, to non-agriculture use or conversion of forest land to non-forest use? The project site is currently in agricultural use and surrounded by similar agricultural uses and associated residences. Construction of the proposed dairy facilities and expansion of the existing herd would represent a continuation of agricultural uses. Question a: Less-than-significant. According to the California Department of Conservation s (DOC) Important Farmlands Map of Merced County, the area for proposed active dairy facilities is designated Farmland of Statewide Importance and Confined Animal Agriculture (FMMP 2010). Confined Animal Agriculture lands as defined by DOC include poultry facilities, feedlots, dairy facilities, and fish farms. The project site cropland is designated as Prime Farmland and Farmland of Statewide Importance (see Figure 9). Page 26 Initial Study Matos Dairy Expansion CUP12-014

29 Buhach Rd. Quinley Ave. 140 Stockton Ave. Brooks Rd. MID Canal Black Rascal Creek Bailey Ave. Bear Creek Oak Ave. Existing and Proposed Dairy Facilities MI D Canal Project Site Dairy Facility N Prime Farmland Farmland of Statewide Importance Unique Farmland Farmland of Local Importance Confined Animal Agriculture Semi-Agrucultural and Rural Commercial Land Rural Residential Land South Slough W. Dickenson Ferry Rd. SOURCE: California Department of Conservation, Division of Land Resources Protection, Farmland Mapping Program, Important Farmland County PDF Maps, available at: Map published May 2012 Matos Diary Expansion CUP Figure 9 Important Farmlands in the Project Area