Frequently Asked Questions

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Planning & Building - Cannabis Water Storage & Renewable Energy Grant Programs FAQ

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1. Do I need a business license to be eligible to apply?

No. The first version of the Notice of Funding Availability (NOFA) included an error, listing a business license as one of the eligibility criteria to apply. An updated NOFA was released on August 5, 2022 which strikes the business license requirement. The NOFA featured on the webpage is the updated version.

2. Will I be taxed on grant funds awarded to me?

If the County pays you directly, that is considered by the Internal Revenue Service (IRS) to be taxable income and you will be required to pay federal and state taxes on it.  

3. How do I know if my Measure S taxes are current?

Current means Measure S cannabis cultivation taxes billed for first installment of 2020 and all years prior, have been paid in full.

4. When does the application period open?

8:00 AM Monday, August 22, 2022

5. When is the application deadline?

5:00 PM PST Friday, September 2, 2022.  

6. Can the application form be printed and mailed or emailed?

No, only online applications are accepted.

7. What if I don’t have a computer, or I am not able to use one to file an application?

The Humboldt County Planning and Building Department office at 3015 H Street in Eureka has a computer available in the lobby for filing an application.  You will need to bring hard copies of the required documents to be uploaded: 1) scope of work, 2) line item budget, 3) plot plan, 4) notarized owner consent form if the applicant is different from the property owner, and if you operate with an Interim Permit 5) creation deed.  Department staff will assist in uploading these into the online application.

8. Can I get reimbursed for past expenses?

Funds can only reimburse a purchase or cost the applicant has incurred after approval of the grant agreement, which was January 21, 2022.

9. What if I don't have all of the required items?

In addition to completing all fields in the application form, you must provide all required attachments. Applications lacking the required attachments will not be considered for funding.

10. Why am I being required to submit IRS Form W-9 with my Application?

The County is required to report to the IRS any payments made directly to you as personal income.  The County will issue you a 1099-MISC to file with your taxes.  

11. Would the grant monies be able to support purchasing of large 10K to 15K gallon tanks that farmers can use for irrigation of their crops?

Yes, if these expenditures assist licensees in meeting annual license requirements.

12. Are permit fees for County or other agencies an allowable use of funds?

Yes, if these expenditures are needed assist licensees in meeting annual license requirements.

13. Are costs for connecting a cultivation site to PG&E eligible for the Renewable Energy System grant program?

Yes, if these expenditures assist licensees in meeting annual license requirements. A property is eligible if the commercial cannabis operation is not connected to the power grid, even if it has an existing residence or approved use that is connected.

14. Can a property owner who owns more than one property apply for more than one grant to fund improvements on multiple properties?

Yes.

15. Can a property owner who has multiple cultivation permits or licenses on one property apply for more than one grant?

Each property (legal parcel) may only receive one renewable energy grant *and* one water storage & conservation grant. Two applications for the same grant program (e.g. two applications for renewable energy systems) will not be considered on the same property.

16. How long should applicants expect to wait for a response to their application?

When an application is submitted, if the applicant requests an email copy of the form (recommended), they will almost immediately receive an email containing the submitted application form.  We anticipate that the final ranking of all the applications will be available October 21, 2022 (the Friday before the Tuesday public hearing when the Board considers the grant awards).

17. How are applications ranked?

The answers in the “Ranking Criteria” section of the application and all of the attachments will be used to rank applications.  “Yes” answers are ranked higher than “No” answers.  With the Renewable Energy System program, projects that convert the most energy use from non-renewable to renewable fuel sources are ranked highest. 

18. If there is a “first come first serve” component to funding, how will I know where my application falls in the eligibility line?

The order of application submittal will be a tie-breaker between applications that receive the same ranking from the scoring matrix. We anticipate that final ranking of all the applications will be available October 21, 2022 (the Friday before the Tuesday public hearing when the Board considers the grant awards).

19. Who decides which projects get funded?

The Board of Supervisors at a public hearing. We anticipate that the Board of Supervisors will consider funding projects at their October 25, 2022 meeting.

20. How do I challenge the ranking of my application?

You may present information in support of a request for a higher ranking to the Board of Supervisors at the public hearing when they consider the grant awards. We anticipate the Board of Supervisors will consider funding projects at their October 25, 2022 meeting.  

21. When will the Board of Supervisors make a decision on which projects get funded?

We anticipate the Board of Supervisors will consider funding projects at their October 25, 2022 meeting.  

22. How many projects will be funded?

It depends on the amounts requested in the eligible applications received.  If all the applicants requested the maximum amounts, close to 300 projects would be funded (105 renewable energy projects, 195 water storage and conservation projects).

23. If my project received Project Trellis funds for the same project, am I allowed to request funds through this program?

You may apply, but you cannot be paid/reimbursed twice for the same expenses.

24. How the grant funded projects will be monitored and work completion verified?

Applicant-submitted photographic documentation and receipts will be the primary means of verification.  Cannabis permit post approval annual inspections will also be used to verify work completion.

25. How do I know if my application will be eligible for funding?

In order to be considered for the grant funding, you must answer "yes" to all of the eligibility questions, complete all fields of the application form, and provide all requested attachments. 

26. How do I know if my parcel is a "legal parcel"

If you hold your annual permit for cannabis cultivation (i.e. your ZCC was signed by the Planning Director, your Special Permit was approved by the Zoning Administrator or your Conditional Use Permit was approved by the Planning Commission), then you have a legal parcel. The Planning and Building Department only issues permits on legal parcels.

If you hold an Interim Permit, you must submit proof of legal parcel status (e.g. a creation deed, Certificate of Subdivision Compliance, etc.) for the parcel as an attachment to your online application. This is an important step to enable staff to confirm the status of the parcel.

27. What is a "legal parcel?"

A lot is considered legal if it was created in accordance with the subdivision rules in effect at the time of creation and subsequent transfers of the property did not affect its shape and size. Subdivision rules have changed over time. In some cases determining how a property was created, and tracing the chain of transfer over time can be a costly and time consuming challenge. When the legal status of a lot is in question, an application with the Current Planning Division to conduct a determination of legal status may be needed.

28. What information must be in a Scope of Work?

Both Programs:

• who will be doing which tasks, 
• when the tasks will begin and end, and 

Water Storage Program:

• what are the expected outcomes including the methodology and calculations used to estimate the project’s quantified increase in storage and conservation

Renewable Energy Program

• what are the expected outcomes including the methodology and calculations used to estimate the project’s quantified reduction in gallons of fuel used each year by generators to provide electricity for the applicant’s cannabis cultivation