Loading...
HomeMy WebLinkAbout08.b. (Att. 2) AgLantis 2018 Business and Strategic Plan Page 29 of 90 AgLantis: CoCo San Sustainable Farm CoCo San Sustainable Farm: Business and Strategic Plan Project of AgLantisTM Carolyn Phinney, Ph.D. President 62 Scenic Drive Orinda, CA 94563 SustainableFarmgcomcast.net 925-788-7374 cell April 1, 2018 1 May 17, 2018 Regular Board Meeting Agenda Packet- Page 382 of 534 Page 30 of 90 AgLantis: CoCo San Sustainable Farm 2 May 17, 2018 Regular Board Meeting Agenda Packet- Page 383 of 534 Page 31 of 90 AgLantis: CoCo San Sustainable Farm Table of Contents Overview of Project 5 1. Mission 9 2. Company History and Overview 9 3. Market Research 15 A. Global and Local Need for Food 15 B. CA Drought 16 C. Market for Organic Produce 16 D. Solution to Market Problems 17 4. Products and Services 18 5. Marketing and Sales 19 6. Financial Plan 19 A. Revenue Sources 19 B. Market Segmentation 19 C. Competition 20 D. Competitive Edge 20 E. Risk/Reward Ratio 22 F. Challenges 22 G. Marketing Strategy 24 H. Sales Strategy 24 I. Strengths Weaknesses Opportunities Threats 24 7. First Years of Project 27 8. Objectives for 1St Three Years of Operation 29 A. Objectives for 1St Operational Year(2017-18) 29 B. Objectives for 2nd Operational Year(2018-19) 30 C. Objectives for Yd Operational Year(2019-20) 31 9. Goals for the Next 5 Years 32 10. Key Performance Indicators (KPIs) 33 11. Financial Data 34 A. Projection Assumptions 34 1. Cost of Production 34 2. Decrease in Costs 34 3. 2018-2023 34 4. Hydroponics 34 5. Education Costs 34 6. Worldwide Demand for Produce 34 7. Price of Produce 34 8. Grants and Donations 34 9. Growth Rate 34 10. Projected Profit, Loss, and Cash at End of 2015 34 11. Revenue and Costs Forecast 34 3 May 17, 2018 Regular Board Meeting Agenda Packet- Page 384 of 534 Page 32 of 90 AgLantis: CoCo San Sustainable Farm B. Farm Products 35 1. Produce Sales 35 2. Herbs 35 3. Potted Plants and Seedling Sales 35 4. Events & Classes 35 5. Conferences 35 C. 5-Year Income Projections 35 12. Assessment of Outcomes 36 A. Infrastructure and Capital Improvements 36 B. Planting Data 36 C. Harvesting Data 36 D. Cost Data 36 E. Produce Donation Data 36 F. Produce Sales Data 36 G. Security and Physical Safety Data 36 H. Volunteer Data 36 I. Classes Data 36 J. Community Outreach Data 36 13. Management Team 37 A.AgLantis Board 37 B. Personnel Plan 38 C. Volunteers 38 14. Organization 39 A. Overview 39 B. Accounting 39 C. Legal 39 D. Insurance 40 E. Security and Physical Safety 40 15. Keys to Success 41 4 May 17, 2018 Regular Board Meeting Agenda Packet- Page 385 of 534 Page 33 of 90 AgLantis: CoCo San Sustainable Farm Overview of Project The CoCo San Sustainable Farm is a project of AgLantis TM, a 501c-3 non-profit. PROBLEM& PROPOSED SOLUTION: FOOD EQUITY and HEALTH It costs approximately$1 a day to feed a child a salad. Most schools cannot afford that. The Contra Costa/Solan Food Bank (Food Bank) cannot get enough fresh salad vegetables because they are highly perishable and unavailable locally. Our goal is to provide low cost sustainably grown produce to schools, the Food Bank, and the community. We plan to grow produce on some of 14.8 acres of public buffer land and in a high-tech Agra Tech so- lar light greenhouse (144'X 42'),using recycled, agricultural-grade water, which is otherwise dis- charged into the Bay. This recycled water is high in nitrogen,phosphorous and potassium,providing free fertilizer. The Food Bank is a mile from our farm and will pick up some the produce and use existing systems to distribute it,providing transportation. Community Supported Agriculture boxes (CSAs) on the farm will provide low cost produce to the community. Hence, we will be deploying under-utilized resources to greatly reduce of the major costs of food pro- duction and distribution: LAND, WATER, FERTILIZER, and TRANSPORTATION. HANDS-ON STEM EDUCATION & JOB TRAINING One of the goals of the farm is to educate. All aspects of science are involved with farming: physics, soil science, hydrology, meteorology, nutrition, mycology, math, biology. We are working with local schools, colleges, universities and community based groups to provide hands-on opportunities to learn science, technology, engineering and math (STEM) in an inquiry-based context on the farm. Ciry Factory Q Farm � t '/!� Was[ewatM t Pyr Frea[men[Plan[ r 0 Disinfection Well Recharge Basins Groundwater ■ � Water Treatment Plant 00 � ns City l indumal reuse 0es,eam ow augmentation n rect agrwlturel reuse 0®mundwater re0arge Lht3an retise(landscape,tonal Rushing i -'� Co mingled Eflluent 0 Fndrrect Wable reuse from rover arW Natural Runoff 0 Ind fed wable reuse from well reel"ncultural reuse 5 May 17, 2018 Regular Board Meeting Agenda Packet- Page 386 of 534 Page 34 of 90 AgLantis: CoCo San Sustainable Farm c.rhun t>u.uu.u.p6.rra AUTO& SUNLIGHT �ry FACTORY �.u� � r�.1.at. tR10tDN[^LPGI'1 Nlm FwrT..lr io.wrrurv,.i. EMISSIONS CD2 Y CYCLE PHOTOSYNTHESIS BIOSPHERE p.....r.r41..�...t•.�.tll G42 1itrrx ssnx.. i T6n, OU21+nba+ed irvia Suareyically Qrsxrd and iy wady for 0—mswphrra unkmaks pmrrour graxkng.The urban+x+lil CO2 FC+1e0T.1On bf sequestered-Win remA kn rhe so11F urhon drc ank-1._rrom to be Sr'Ea:d Ik Oceans a4ososh G�2' from the otmnsphers _ cat'han to used to build the shells of Fn orinc vrguniamo- ENVIRONMENTAL PROTECTION The environment benefits with the regenerative agricultural methods used which increase soil organic matter and increase carbon sequestration. NRCS: "Soil health, also referred to as soil quality, is defined as the continued capacity of soil to function as a vital living ecosystem that sustains plants, animals, and humans." In order for soils to be healthy, it is vital that soils have living organisms that release the nutrients needed by plants. Healthy soils support plant roots that secrete strigolactones, which attract and feed mycorrhizae and bacteria. The microorganisms mine water and phosphorus from surrounding soils and barter for the photosynthetically produced carbohydrates. As the mycorrhizal hypha move through soils, they produce glomalin,providing soil structure and tilth. These billions of bacteria, fungi and other microbe require carbon sources as well as living plant roots. Once populations are estab- lished, healthy soils become an ecosystem that provides nutrients for plants, a buffer for heavy rain events and a filter for pollutants. Soil health is negatively impacted by compaction; high nitrogen ferti- lizers, tilling and flooding, all of which kill the microbiota needed for healthy soils. Soil health is en- couraged by compost, mulch, cover-crops and no-till practices. We also reduce two of the major types of carbon pollution associated with food production: Fossil-fuel based fertilizer and transportation. We dramatically reduced the carbon footprint of this food by growing and delivering locally with natural fertilizers and other sustainable methods. We are rebuilding barren, highly compacted urban soils by amending with wood chips, mulch and ma- nure and planting crops all of which helps sequester carbon, clean the air, increase soil microbiota and increase ground water. 6 May 17, 2018 Regular Board Meeting Agenda Packet- Page 387 of 534 Page 35 of 90 AgLantis: CoCo San Sustainable Farm We also reduce two of the major types of carbon pollution associated with food production: Fossil-fuel based fertilizer and transportation. We dramatically reduced the carbon footprint of this food by grow- ing and delivering locally with natural fertilizers and other sustainable methods. We will use sustainable, regenerative agriculture production methods (e.g., no fossil-fuel based fertilizers, no pesticides, no tillage), but we will not attempt to obtain organic certification because it is extremely time-consuming and costly to obtain and maintain. By providing produce grown with sustainable methods that are identical to those used for organic certification,but not certified,we are able to provide an excellent, healthy product at a greatly reduced cost. Our methodology will be transparent and our methods of pest control readily available to the public. Our methods will be modelled after the highly successful and innovative Singing Frogs Farm in Sebastopol, California. They model bio-intensive farming methods and use integrated-pest-management and other agro ecological, organic methods. Paul and Elizabeth Kaiser, who served in the Peace Corp., founded Singing Frogs Farm using the agroforestry principles they practiced. They start many of their crop seedlings in greenhouses and we will use our greenhouse or high tunnel greenhouses to do the same. i Aerial Photo of Singing Frogs Farm from their website. ECONOMIC DEVELOPMENT The farm will provide aspects of job training for employment in plant biology, horticulture, irrigation 7 May 17, 2018 Regular Board Meeting Agenda Packet- Page 388 of 534 Page 36 of 90 AgLantis: CoCo San Sustainable Farm design and maintenance, ecology, sustainability, and basic science, technology, engineering and math and safety(STEMS), providing skills relevant to many jobs.. In addition to growing field crops, we will be demonstrating some controlled environment agriculture methods. We will use a state-of-the-art 6000+ square foot AgraTech Solar Light greenhouse for hydroponic production. Using hydroponics we will grow produce in water, without soil, using mineral nutrient solutions. Hydroponics uses approximately 2% of the water of conventional agriculture and provides as much as 40 times the production. The environment can be controlled so production is not dependent upon nature. The product is uniform and predictable. Food safety concerns are greatly diminished because of the controlled environment. Production can be scheduled precisely to meet schedules of customers, because the controlled environment provides a more predictable growing timetable. With ever-increasing population and unpredictable weather conditions due to global warming and drought, growing in controlled environments has become more important globally. Controlled environment agriculture requires a workforce trained in greenhouse management, including water chemistry and other sciences involved in production of algae or crops. Currently, one must travel to Arizona State University to get much of this training. That's too far. Our greenhouse will be a local job for those who already have beginning training in greenhouse production and management. We will work with local community colleges and National University and John F Kennedy University to augment our hands-on job training with courses, certificates, and degrees. We will partner with other local businesses to teach aspects of jobs related to these industries such as attention to issues of safety and basic measurement skills (useful to future employees of Andeavor). SCALABLE Sanitary/Sanitation districts in San Francisco Bay Area discharge as much as a trillion gallons of water in a year into the San Francisco Bay waterways. They also have thousands of acres of buffer land. At the same time, about 20% of the population has poor nutrition in part due to the lack of affordability of healthy fresh produce. Our business model is scalable and once proven, can be replicated with other sanitary/sanitation districts to utilize these precious resources and greatly reduce nutritional poverty. QUADRUPLE BOTTOM LINE AgLantis is a California non-profit public benefit corporation, 501c-3. The CoCo San Sustainable Farm has a quadruple bottom line—Food Equity, Education and Job Training, Environmental Protec- tion and Economic Development. 8 May 17, 2018 Regular Board Meeting Agenda Packet- Page 389 of 534 Page 37 of 90 AgLantis: CoCo San Sustainable Farm 1.AgLantis' Mission: To create a sustainable healthy food system that makes locally grown pro- duce available to our community; using under-utilized resources and organic methods to grow fresh vegetables; demonstrating sustainable practices that reduce the carbon footprint of food, sequester car- bon in soils and mitigate global warming; providing public education about sustainable living; provid- ing job training; and creating a scalable model. 2. Company History and Overview (Revised 2018) Contra Costa County's Buffer Land and Water Resources: In August 2010, the founder of AgLantis learned that Central Contra Costa Sanitary District (Central San) discards million gallons of treated wastewater every day, which could be recycled to tertiary treatment and reused for agriculture. Recycled water is high in nitrogen, potassium and phosphorus which are organic fertilizers when used for agriculture. Sanitary/sanitation districts in Contra Costa County own approximately 5000 acres of buffer land and discharge approximately a hundred million gallons of water per day that could be recycled and used for agriculture. Other buffer lands near recycled water lines also exist, such as the land along Sally Ride Road in Concord. If a significant portion of these buffer lands were used for urban farms, these could provide fresh produce to schools and the Contra Costa/Solano Food Bank (Food Bank), dramatically reducing 2012 CHILD •' INSECURITY&FOOD COST IN THE US nutritional poverty. California Contra Costa County's Nutritional Poverty Rate: Approximately 1 in 5 Contra CHILD FOOD ESTIMATED PROGRAM ELIGIBILITY Costa County residents suffer from poor INSECURITY RATE AMONG FOOD INSECURE CHILDREN Ihknutrition which causes problems with NMoss incmaiMeikA krtls lsaord raeim as.a% CIN n ,� ��� developmental and other health problems and Nomhei of food insecure milare,2,426,570 ixcme diyhb kr fedalerueitian affects school and work performance. rwrara tt�a wse ni a,.reand Children suffer from anemia, stunted growth, AVERAGE MA �, �2 sn a j2,�.a8e � underweight and overweight and other short OFRMEAL and long term health effects.Adults too are at Contra Costa risk for serious health consequences. Schools CHILD FOOD ESTIMATED PROGRAM ELIGIBILITY and the Food Bank would like to provide INSECURITY RATE AMONG FOOD INSECURE CHILDREN more fresh produce to their students and clients. However, fresh produce is expensive. mmaswams i ��br a.ra�wxm 19.5% Ai�.n a �nfba Our goal was to provide these institutions a Numher of frntl insecure �� "d—50°7$0 me mdipbb ahi lmb on low cost supply of fresh produce, so that they rmc(edvs®sst of tlw Faiod ` could provide more for the populations they AL OFAMEAL 1{ $2.98 a ,� e, serve. We also want to sell CSAs OF 1 (Community Supported Agriculture Boxes) to members at the farm at a reasonable price to CliiH M1in�ex'sm Increy wrray Inba Hnikd 9hes.Hvserer,as FxAir AmakdaMy 4re91ael Cap:eud1 droll,diH kod H.ewHty kdo dlReera hom ewraymo,qty.mal.rearrr�ra�.ramyrmxtmerFlsrt rxam rrren., .euunr�ny>ori,mkmam�yd,aacen�ramroaa..al. provide fresh produce to the community. ,m war a,.x�l oda n�con v.as•srrn�.:s.,ie,mn.xr�lyan amxy d,�m ra rave enure eH.m�a.,m.at coy�ac,aasa mora ne peralmxal aaaroaa:r•a.,.ga �:-.I lar-l.n -,een.a ar aiur,n dro a<:,�-d'cak ro.s.dr<�ba Mmannaroe�•l'Issa a.r.drKad rrw mwai m,d.ay r+++atia'm�„s =ba:::l;li J�.,e=:anbid I�.al.u�aKuva car®r sea ai�y,a�n.,rd��FA.�aR dike urrmy •trams b heal reaTtsne'nsaM iF.3dxn in,ccd cf kod a:vsmnce. Environmental Benefits:As the planet FEEDI G visit r.edsypmenca.«y/m,pmeeap to mora intcrmatian. AMERICA mate Faed'ma+�ea+ina,Vl�h��rred. •Due to rcunaing,mtals range rm,ss-[mss rapidly overheats, scientists have determined that one of the only paths to reversing global warming is to sequester carbon dioxide in soil.As a result of recent research such as that at the Marin Carbon Institute, the State of California has begun a Healthy Soils Initiative to increase organic matter in the state's soils and engage in other practices that foster carbon sequestration. Conventional agriculture has been one of the major contributors to greenhouse gas emissions because of the use of fossil fuel based fertilizers, tillage, and fuel intensive 9 May 17, 2018 Regular Board Meeting Agenda Packet- Page 390 of 534 Page 38 of 90 AgLantis: CoCo San Sustainable Farm methods of production and distribution. Local, regenerative farming is a huge part of the solution. Regenerative agriculture uses methods that take carbon dioxide from the atmosphere and sink it back into the soil (little or no tillage, increasing soil organic matter, planting cover crops, etc.). These regenerative practices can be used on any land, including one's own back yard. The farm will continue to demonstrate regenerative methodologies that help sequester carbon to the community and is teaching these principles so that the public can learn to engage in these practices. 2012-2014 Founding the Farm: Thousands of community members and numerous elected officials signed petitions, wrote letters, and attended Central San board meetings requesting that Central San use some of its buffer land and recycled water to create an urban educational farm that would also provide fresh produce for local schools and the Food Bank. Letters focused on the benefits to students, the environment, the business community,public health and other issues. Elected officials including State Superintendent of Public Instruction Tom Torlakson, State Senator Mark DeSaulnier(now Congressman),Assemblywoman Susan Bonilla, Mayors, City Council members, Community College Board members, local school board members, William Walker, M.D. the County Health Services Director,Anna Fisher, then Director of Food Services for Mt. Diablo Unified School District, Larry Sly, Director of the Contra Costa/Solano Food Bank, teachers, parents and many more wrote letters of support for the proposed project. On October 3, 2013 Central San Board unanimously voted to give the CoCo San Sustainable Farm 14.8 acres of buffer land and all the recycled water they needed for this urban farm project. February 14, 2014 the non-profit AgLantis, a California Public Benefit Corporation and 501c-3 Non-Profit was founded to create this non-profit urban farm.AgLantis and Central San signed a ten year renewable lease with AgLantis on July 3, 2014. January 2013: MLK Volunteers Clean Up Kiewit Property: In January 2013, a group of about 60 volunteers spent all or part of a day volunteering to clean up garbage, rocks and other debris from the Kiewit Property to prepare it to become a farm. r t - _ 10 May 17, 2018 Regular Board Meeting Agenda Packet- Page 391 of 534 Page 39 of 90 AgLantis: CoCo San Sustainable Farm May 8, 2015 Kickoff Event: In Spring 2015 AgLantis held a successful kickoff event to showcase the innovative use of recycled water for urban farming. The event was attended by about 200 people including Congressman Mark DeSaulnier,Assemblywoman Susan Bonilla, Supervisor Karen Mitchoff and many other elected officials, staff of elected officials, county department heads and community leaders. Central San used this event to showcase their environmental contributions to the community to impress elected officials and other leaders and citizens and spent approximately$25,000 plus staff time to augment what AgLantis had planned to spend on the event to make it more upscale. Central San had a booth and trained and certified attendees in the use of recycled water from the HHW facility. Three Central San Board Members attended, along with the General Manager and staff. The innovative project of putting an urban farm on public buffer land received wide positive press coverage and community acclaim and brought great positive public attention to Central San and public interest in the potential uses for recycled water. This has helped improve public perceptions and acceptance for recycled water and the willingness of elected officials to work on legislative and other efforts to increase the use of recycled water. Mark DeSaulnier has subsequently authored recycled water legislation in the U.S. Congress.Assemblywoman Baker's Chief of Staff attended and they have championed recycled water subsequently. Board members from other sanitary/sanitation attended and they have promoted this project in trade press and public discussions. le Farm �` gkallld� 501c 3) �' ,� r' AgbiI;tIs ( 53-9500,E October 17, 2016 Carbon Sinking: Permaculture, Soil, and Cover Crops, Integrated-Pest- Management and Bees: About 130 high school and college students and other participants including staff of Congressman Mark DeSaulnier attended AgLantis' event on the farm as part of AgLantis'role in the University of California, Berkeley USDA/NIFA Growing Roots grant (See www. rg owingroots.berkeley.edu) in collaboration with NCAA/AATRA. Central San had a booth with information about recycled water and gave participants organic cover crop seed which was gratefully taken and planted. Report that some grew 3 feet high for those who also picked up recycled water at the Central San HHW facility. Rex Dufour, Ph.D., international soil expert from NCAT/ATTRA and partner of the UC Berkeley's Growing Roots grant led a presentation for urban farmers on Understanding Urban Farm Soils: Healthy soils, Soil Function and Soil Testing. This workshop was geared towards beginning urban farmers with less than ten years of experience who want to understand common problems and solutions for dealing with urban soils. Rex discussed how to improve soil function, how to interpret a soil test and the different types of soil testing that are important for urban farm plots. Matt Powers, B.A., nationally known permaculture expert is certified in permaculture design by world expert Geoff Lawton and is a certified high school teacher, creator of The Permaculture Student Online (www.thep ermaculture student.c om). Matt was a student favorite. Matt talked about his experiences being trained and working with 11 May 17, 2018 Regular Board Meeting Agenda Packet- Page 392 of 534 Page 40 of 90 AgLantis: CoCo San Sustainable Farm worldwide permaculture experts, permaculture farming and gardening. Agroecologist Bethallyn Black, M.A. taught how to plant cover crops in your backyard obtaining greater carbon sequestration in your soil. Cover crops support beneficial insects such as bees. Mike McGill, P.E. Central Contra Costa Sanitary District's Board President discussed the benefits of recycled water for agriculture production and beyond and gave away organic cover crop seed to enthusiastic participants. Andrew Sutherland, Ph.D. BCE, San Francisco Bay Area Urban Integrated Pest Management Advisor University of California Cooperative Extension/ University of California Integrated Pest Management Statewide Program taught Integrated-Pest- Management to protect our environment and our bees. Central San videotaped the event and it played for weeks on CCTV giving thousands in the community a chance to hear the lectures. i rte. - April 14 2016 Singing Frogs Farm Event:AgLantis held a day-long teaching event that featured Paul and Elizabeth Kaiser and the regenerative agricultural methods used on Singing Frogs Farm and 6 San sLi5talnablP Farm h Coca r�. 12 May 17, 2018 Regular Board Meeting Agenda Packet- Page 393 of 534 Page 41 of 90 AgLantis: CoCo San Sustainable Farm understanding the value of these methods for the farmer and the environment.About 150 elected officials and/or staff, county department heads, community leaders this event, including local farmers and Master Gardeners and a dozen AP biology students from Martinez and their teacher. This event was videotaped by CCTV(paid for by the Workforce Development Board of Contra Costa County) and was replayed on CCTV for weeks. The recording can be made available on a thumb drive. August 6` 2016 Soil Not Oil Conference-Urban Farming on Public Land Using Recycled Water: AgLantis President and Vice-President gave presentations on the CoCo San Sustainable Farm; the value of recycled water for agriculture; regenerative agricultural methods and more at this international conference in Richmond, CA. Central San Board Member, Michael R. McGill, P.E. spoke about"One Water" as part of the AgLantis presentation. October 24, 2017 DRAWDOWN Event: Inspired by the Book DRAWDOWN, Edited by Paul Hawkins,AgLantis organized an event on reversing global warming. b1h.AWDOWN W MOST CON P1111111111 RIN IVER PIMSEU 10 NIVIN E ICHIM1111H 151M BY PCU[ MUN Bahman Sheikh talked on "How recycled water can help with the global warming problem." Bethallyn Black, M.A. explained"How You Can Reverse Global Warming." She explained carbon sequestration in soil through photosynthesis and plants sequestering carbon and methods anyone could use to sink carbon. Michael R. McGill, P.E. spoke about "The Future of Water" and the debate about "One Water" -- the movement to unify control of different types of water. Alex Brendel, one LaCo San Sustainable Farm 1 r 4 of Bethallyn Black's former students at Diablo Valley College gave a short introduction to "Biochar: Sequestering Carbon in Soil."About 105 individuals attended, including elected officials, staff of elected officials and environmental leaders and JFKU faculty. 13 May 17, 2018 Regular Board Meeting Agenda Packet- Page 394 of 534 Page 42 of 90 AgLantis: CoCo San Sustainable Farm Mt. Diablo Unified School District Nutrition students and teachers provided healthy lunch for the group and spoke about their program. ,9 r - a i K— November 13,2017 Republican Central Committee Presentation:AgLantis President gave a presentation about recycled water and urban farming, specifically the CoCo San Sustainable Farm prototype. Mike McGill gave a presentation on One Water.Assemblywoman Catharine Baker, BART Board Director Debra Allen and others were in attendance. There was great interest in both presentations and discussion about the value of recycled water. Education and Job Training Opportunities on a Farm: Every type of science and engineering happens on a farm. Our farm has an educational program focused on environmental education and other aspects of STEM Education(Science, Technology, Engineering and Math). The opportunities for students and the community to have hands on experiences are many. We have already held classes discussing"One Water,"recycled water(including expert explanations of direct and indirect potable reuse), integrated pest management, soil science, agroecology and regenerative agriculture, permaculture, and other topics. Students from Mt. Diablo Unified School District, Martinez High School, Diablo Valley College and Los Medanos College and high school students and more have attended classes on or farm or our educational events inside Central San's Multipurpose Room. We also have an active public education program on social media where we disseminate information on Facebook, Twitter and S1ideShare about various environmental topics and other topics pertaining to sustainable living. Student from Diablo Valley College have been hand removing invasive exotic plants from the farm in the spring of 2018, under the supervision of Bethallyn Black. Educational Benefits to the Community: Local educational institutions have been eager to collaborate with AgLantis including the University of California Berkeley's Natural Resources Department which obtained the Growing Roots Federal grant 14 May 17, 2018 Regular Board Meeting Agenda Packet- Page 395 of 534 Page 43 of 90 AgLantis: CoCo San Sustainable Farm that included the CoCo San Sustainable Farm as a training site. Two members of the Contra Costa County Community College Board members and the President(s) of one or two local community colleges and the President of JFKU, the Chancellor of National University System(NUS) have discussed working with us to develop programs to link community college classes to the farm's hands-on education and training programs. We hope that the Community Colleges will expand their relevant course offerings and create high-tech agriculture programs and certificates that include high tech greenhouse production and management training and that JFKU and NU will complete the local offerings with a 4 year degree program. Dr. Phinney has been invited to meet with the Chancellor of the Contra Costa Community College System, Fred Wood, Ph.D. in the near future. We are working with the Chair and members of the Workforce Development Board of Contra Costa County, members of the East Bay Leadership Council, and other business leaders to provide business- to-farm acumen and support facilitate green jobs apprenticeships through the farm. We also will partner with local related green businesses such as Ecoloblue, which creates potable water from the atmosphere, and local farmers and members of the Mt. Diablo Beekeepers. The Contra Costa County Resource Conservation District Board has voted to collaborate with us on grants and projects and discussions are already underway. Local city council members such as Concord's Mayor Edi Birsan and Vice-Mayor Carlyn Obringer want to provide linkages between the farm and nearby projects such as the Concord Naval Weapons Station, which has considerable buffer land and will have recycled water. We have also talked to decision makers at three other sanitary districts who are interested in emulating us, once the farm is fully operational. We have created tremendous momentum in the community and have the strong support among elected officials including State Superintendent of Public Instruction Tom Torlakson, who would like to see this program replicated throughout the state. Congressman Mark DeSaulnier has authored recycled water legislation after our farm kickoff. Catharine Baker may work on a statewide effort to get fire departments to accept and use recycled water, after hearing the barriers the farm has faced. Many other elected officials in state, county and city governments, as well as school board members, teacher, students, environmental leaders and thousands of local citizens are supporters. 3. Market Research A. Global and Local Need for Food. According to The Human Rights Council report to the United Nations, food production needs to increase by 70%by 2050. Degradation of ecosystems due to lack of organic farming practices, global warming& lack of rainfall are described as among the main risks that the world will not produce enough food. By 2080, an additional 6,000,000 people are predicted to be hungry. U.S. Secretary of Agriculture Tom Vilsack Ir stated(2014 at the San Francisco Commonwealth Club) that food production needs increase 70% in the next 40 { years, as much as the increase in the last 200 years. At a local county level, hunger and nutritional poverty are on the rise with food prices sky-rocketing. Poverty T among school children was 21% in Contra Costa y,I County in 2012. The Food Bank serves approximately , 160,000 people per month. Los Medanos College has a ' 15 May 17, 2018 Regular Board Meeting Agenda Packet- Page 396 of 534 Page 44 of 90 AgLantis: CoCo San Sustainable Farm new food pantry in 2017 and would like to serve fresh produce, but has not yet done so. Other charities feed many more. Feeding America's 2012 statistics showed that 13.2% of Contra Costa residents felt food insecurity, which was 139,290 people. 50,760 children were food insecure (19.5%) and 54% were eligible for federal nutrition programs (below 185% of the federal poverty level), some of which have been cut recently. They estimated that over$72 million more money was needed to meet the county's food needs. http://feedingamerica.or /g/hunger-in-america/hunger-studies/map-the-meal- gap.aspx?&utm source=cultivation_newsletter&utm_medium=email&utm_campaign=fyl4may&utm_ content=leadarticle Food needs include not just calories but also food with the nutrients necessary not to suffer from malnutrition. Food systems are needed that achieve three objectives, according to the Human Rights Council. Food must be available, accessible & adequate.Available means enough food is produced. Accessible means both physically and economically, including for vulnerable populations such as children, elderly, & disabled. Adequate refers to the nutritional value of the food, food safety, & free of adverse substances. We believe the doubling in global food demand in this century, challenges all aspects of sustainability. These dramatically increasing needs must be met with decreasing and unpredictable water supplies and unstable climate. And these needs must be met fostering sustainable practices to reduce and even reverse environmental damage. The local Food Bank does not receive adequate fresh produce to meet the nutritional needs of its clients. Much of what it does receive is shipped from the Central Valley ►F, or further after it hasn't sold for several days. Hence, the products that are highly perishable are no longer of a quality that can be served to clients. Instead, the Food ; Bank clients can regularly only get the "hard"produce that survives, such as potatoes, carrots, apples, oranges, and melon. The Food Bank needs lettuce, broccoli, tomatoes, spinach, green beans, kale, zucchini, red, green, and hot peppers, and summer squash and nutrient rich f fresh herbs like basil, cilantro, and parsley to meet its clients' nutritional needs. B. California Drought. The supply of fresh produce, is diminishing due to drought in the Western states. According to ABC News, the California drought will cost the state's economy$2.2 billion and more than 17,000 jobs. California's produce market is predicted to come up short,because of the drought and draining down of groundwater reserves. More than 400,000 acres of Central Valley cropland, about 5% of the state's total, has been taken out of production. Overdraft of groundwater is depleting the aquifer. Drought conditions expected to continue. We have to innovate our way out of this water and crop production crisis. http://www.news.ucdavis.edu/search/news_detail.lasso?id=10978 Drought not only creates shortages, but also creates incentives for innovation and new technologies such as controlled environment agriculture, so that more produce can be grown with less water. C. Market for Organic Produce. While the supply is diminishing, demand is increasing, especially for organic produce. Teens are showing an increased interest in eating organic, with 39%buying 16 May 17, 2018 Regular Board Meeting Agenda Packet- Page 397 of 534 Page 45 of 90 AgLantis: CoCo San Sustainable Farm organic. http://www.piperjaffray.com/2col.aspx?id=178&releaseid=1863548&title=Piper+Jaffray. +�pletes+2 6th+Semi-Annual+"Taking+Stock+with+Teens"+Market+Research+Project The increase in demand is expected to continue as teens become young adults and establish their own households. http://www.thepacker.com/fruit-vegetable-enewsletter/Week_In_Review/Study-teens-buying-more- organic-23731573 I.html This increasing interest by younger generations, compared to older, in organic is also verified in a 2012 study by Jefferies and AlixPartners, a global investment and business advisory firm. The study revealed that 58% of Millennials surveyed were willing to pay more for natural/organic products compared with only 43% of Baby Boomers (approximately their parents' age). - See more at: http://www.thepacker.com/fruit-vegetable-enewsletter/Week_In_Review/Study-teens- buying-more-organic-237315731.html#sthash.kxMrk9gb.dpuf and at http://www.alixpartncrs.com/en/MediaCenter/PressReleases/tabid/821/articleType/ArticleView/articleI d/25 8/Rise-of-the-Millennials-and-Aging-of-the-Boomer-Generation-Will-Mean-Trouble-in-Aisle-5- for-Established-Food-Brands-and-Traditional-Grocery-Stores.aspx#sthash.I l s6BcIh.IrldZoay.dpbs D. Solution to Market Problems. Organic clearly captures only a fraction of the total market largely due to the higher cost of production and higher prices at market. Part of that cost is organic certification, which is very important when buying from unknown growers. Our goal is to dramatically bring down the cost of pesticide free, sustainably grown product by creating an urban farm right in the center of a densely populated area deploying underutilized public resources (buffer land and recycled water) and demonstrating low water use techniques and high-tech hydroponic greenhouse production. The third National Climate Assessment has concluded that water will be the dominant issue for California growers (http://www.thepacker.com/fruit-vegetable-enewsletter/packer-daily/Researcher- say-climate-change-258202311.html) and www.globalchange.gov. We are demonstrating recycled water use as a solution to a critical problem. The public resources we will use are the buffer land of a public utility and the recycled water produced by this water reclamation facility. Wastewater agencies across the county have buffer land and throw away millions of gallons of treated wastewater every day(secondary or tertiary treatment). Contra Costa and Alameda Counties alone discharge approximately a trillion gallons of reclaimed water into the Bay every year. And this water is discharged during rainy days and drought. This water is high in nutrients which are detrimental to the Bay but is a resource for agriculture when treated further to recycled water quality(tertiary treatment). Hence, turning the hose around and discharging the water onto land brings positive environmental impact and can produce wonderful fresh produce without using the increasing limited, potable water supply. Using recycled water in urban areas redirects a resource that may have a negative impact, such as causing algae bloom, when discharged into the Bay. Adding another level of treatment -- tertiary treatment—turns this treated water into a quality for healthy, productive use, eliminating the need to use precious potable water, as well as the need for fossil-fuel based fertilizers. Much of the certified organic produce grown in Monterey County during the past decade has been grown in recycled water, which has been certified by the state of 17 May 17, 2018 Regular Board Meeting Agenda Packet- Page 398 of 534 Page 46 of 90 AgLantis: CoCo San Sustainable Farm California as safe and healthy for agricultural production. http://www.thepacker.com/fruit-ve etg able- news/Almond-,growers-look-to-recycled-water-for-survival-25 9819691.htm1 Hydroponic (and aquaponics, using fish) greenhouse production uses a tiny fraction(estimated at 10%) of the water used by conventional agriculture. Greenhouse production controls the climate, thereby pro- tecting against the vagaries of climate extremes and drought. Conventional production can be damaged by even a few days of harsh weather. For instance, much of the lettuce crop in Salinas, Monterey and San Benito counties was damaged by 3 days of extreme heat in May 2014. !Atp://www.piper- jaffray.com/2col.aspx?id=178&releaseid=1863548&title=Piper+Jaffray. +�pletes+26th+Semi-An- nual+"Taking+Stock+with+Teens"+Market+Research+Project The best way to produce a large,predictable large quantity of high quality produce with a reduced carbon footprint, enhanced food safety, and greatly reduced harvest waste is to use high tech, high volume greenhouse production in urban areas, using recycled water that is state certified for organic agricultural use by Title 22. This can provide high volumes of nutrient rich produce, easily accessible in highly populated areas at low cost because the costs of water, fertilizer, and transportation are nearly eliminated. Using public buffer lands eliminates another major cost of production. Most of the food safety issues and costs are greatly reduced. Greenhouse growing can produce a predictable, large, consistent supply of organic produce, free of the toxins from fossil fuel based fertilizers &pesticides. Growing produce in urban areas, where the recycled water is located, reduces the carbon footprint of transportation. Furthermore, greenhouse production nearly eliminates the post production waste of conventional agriculture by growing produce locally, in a controlled climate, minimizing pests, and reducing distance for distribution. The United Nations estimates as much as 40% of production is lost due to problems in the field, storage, and distribution, etc. AgLantis is leasing 14.8 acres of public buffer land and all the tertiary grade recycled water they need from Central San for$1.00 per year. The water used would otherwise have been discharged into Suisan Bay as treated wastewater. Fossil fuel fertilizer will not be used because the recycled water is high in nitrogen,phosphorus and potassium, providing free fertilizer. Wood chips, mulch and horse manure have been donated to increase soil organic matter. The Food Bank is less than a mile away from the farm and will pick up produce as it is harvested and deliver to their clients, including some schools. Because the produce will be grown right in the heart of the urban area, transportation distance is dramatically reduced. On this farm four of the major costs of food production are all but eliminated: land, water, fertilizer, and transportation. Sanitary districts across the country and world have unused buffer land and throw away treated wastewater that could be recycled and reused for agriculture. AgLantis will provide a replicable model. 4. Products and Services = The farm will grow produce, herbs,potted plants and _ seedlings using sustainable organic methods, although we will not seek costly organic certification at this g time. We will sell our fresh produce to the Food Bank at a minimal price (about 10 cents per pound) and to schools at a price (about$1.00 per pound) greatly reduced from what they currently pay. 18 May 17, 2018 Regular Board Meeting Agenda Packet- Page 399 of 534 Page 47 of 90 AgLantis: CoCo San Sustainable Farm When we have enough produce,we will sell CSA boxes at the farm to members. Membership fee will be minimal. Classes are being taught on the farm focused on environmental science and protection and sustainable living. We charge a small fee for special educational events (with free entry to anyone who requests a free ticket). We obtain donations from event sponsors, which supplement our revenue. People are always looking for unique places to have events. Our farm can be such a site for special events primarily those focused on hands-on farming and educational experiences. 5. Marketing and Sales One local school district, the Mt. Diablo School District, feeds 3.75 million meals per year, all of which contain produce, according to their food service director. The Contra Food Bank feeds approximately 160,000 people per month and has said they would like to purchase at least 100,000 pounds of produce from the farm. The Food Bank supplies local food pantries like the one at Los Medanos Community college and may be able to provide them with fresh produce, if we can supply enough. We expect these institutional buyers to purchase the majority of our produce and thus we do not need additional marketing for our produce. Potted plant sales may bring in considerable revenue (DVC makes over$50,000 per year on their six to eight sales), but these will only occur approximately twice a year. We will advertise these sales through social media and email to those on our mailing list. 6. Financial Plan A. Revenue Sources. Revenue will be generated from the following sources: 1) Direct sales of potted plants; 3) Direct sales to the Food Bank; 4) Direct sales to schools; ' 5) Special Events and Classes; 6) Sales of CSAs; - x- 7) Crowd-funding; 8) Grants from Foundations, Government & Corporations; AMA f 9) Individual Donations; 10) Major Gifts; B. Market Segmentation. The farm plans four major customer categories: 1) Food Bank 2) Schools and other institutional buyers, 3) Individual CSA members; 4) Individuals who buy potted plants; 5) Community members who attend events, classes and conferences. Our location is highly visible, with the farm lying along Hwy 4 and adjacent to the interchange with 19 May 17, 2018 Regular Board Meeting Agenda Packet- Page 400 of 534 Page 48 of 90 AgLantis: CoCo San Sustainable Farm Hwy 680, which will boost awareness for events and sales. C. Competition. Because we are selling at greatly subsidized prices and the Food Bank and schools probably will buy most of our produce, we will have little competition for these customers. Competition for sales of potted plants is extensive,but we believe supporters of the farm and volunteers will provide our market. Members will be the only customers for our CSAs. This will be a very limited program and customers are expected to come from volunteers and those who work or live nearby.Again, our prices will be low. D. Competitive Edge. 1. Costs of Production. Four of the main costs of production are greatly reduced: land, water, fertilizer and transportation. The two other main costs are capital and labor. Furthermore, some of the capital costs will be reduced because of monetary and in-kind donations. The cost of labor will be mitigated by a large volunteer component carrying out some of the labor. Costs for capital improvements, infrastructure, labor, seed, equipment, and marketing that are not donated directly will be paid for with donations, grants, contracts and other revenues. 2. Hydroponic Production Hydroponic Production can produce at 400% of conventional production. One acre of hydroponic production of lettuce can equal approximately 40 acres of field crops. http://www.tqproduce.com/consumer/sustainabilily.php Hydroponic production is viable and increasing in the U.S. In 2003 U.S. greenhouse production of tomatoes accounted for 30% of market. Today, four of the largest greenhouse growers produce 67% of the tomato production in the U.S. htt2://www.ers.usda.gov/media/307169/err2b I pdf MIT's Mission 2014: Feeding the World lists the following advantages of hydroponic production. "Advantages • No soil is needed so there is no crop limitation due to soil type,eroded or diseased soils. • Water can be recycled so it is advantageous in drought prone areas or deserts. • No nutrition waste due to water run-off which in turn can lead to eutrophication. • Higher and stable yields because the plants does not expend too much energy in finding nutrients in the soil thus this energy is invested into the growth of the plant.Also in soil plants compete with weed for food and water but in hydroponics the adequate nutrients are delivered straight to the roots." • Less frequent occurrence of diseases because of the absence of soil which a bacteria growth media • Due to container mobility hydroponics enables the farmer to grow crops near the area of use thus reducing transportation costs. • Labor intensive work such as tilling,cultivating,fumigation,and watering is not required for hydro- ponic farming(Jones, 1997).And as for advanced hydroponics the system is usually automated using pumps or even computers,labor costs will decrease dramatically. 20 May 17, 2018 Regular Board Meeting Agenda Packet- Page 401 of 534 Page 49 of 90 AgLantis: CoCo San Sustainable Farm • The simplified hydroponic technique is easy to understand and does not require any prior knowledge to achieve concrete results. Most importantly, hydroponic greenhouses are not susceptible to drought. A recent University of California, Davis study found that drought has already caused$1.67 billion impact directly and indirectly on the economy of the Central Valley of CA in 2014. https://watershed.ucda- vis.edu/files/biblio/Preliminary 2014_drought_economic_impacts-05192014.pdf 3. Environmental Benefits to the Community - Food production generally has very high carbon foot print in that water is pumped from afar using some sort of fuel to move it, fertilizer is made from petroleum products, and transportation using petroleum products brings produce large distances where wholesalers pick it up and then transport it again to their stores. By growing food in the middle of an urban area,using public buffer land and reclaimed water that is produced near the site and not pumped long distances, which is high in nutrients, and by using the local Food Banks existing distribution processes and CSAs, the carbon footprint of this food is vastly reduced. Environmentally conscious community members will want to support us and see our model replicated. According to the USDA, (hgp://www.ers.usda.gov/data-products/chart- ag llery/detail.aspx?chartId=40151&ref=collection&embed=True) agriculture accounted for approximately 8% of greenhouse gas emission in 2011, while providing only 1% of the Gross Domestic Production. Furthermore, transportation accounted for about 28% of the total greenhouse gases and some of this transportation is due U.S. greenhouse gas emissions by economic sector, 2011 to shipping agricultural products. The use of fossil Tota!U.S. emissions in 2017=6,702 million p metric tons of carbon-dioxide equivalent fuel for fertilizer also contributes to carbon Industry emissions. Growing food Transportation 0 W locally using recycled 0' agricultural grade water that 28% is high in nitrogen reduces Commercial and the carbon footprint of residential produce production greatly. Growing produce in greenhouses with recycled water, allows a tremendous Agriculture Electricity amount of local production, further reducing the greenhouse gases due to Source: USDA, Economic Research Service using data from Environmental Protection transportation of water and Agency,Inventory of U.S.Greenhouse Gas Emissions and Sinks: 1990-2011. food. 4. Health Benefits to the Community - There has been a national drought and food prices are soaring. Produce prices have gone up over 20% in the last few months, on average. The economic crisis of the last few years has driven a large percentage of the population into food insecurity and particularly nutritional poverty, as fresh vegetables offer fewer calories per dollar than junk food. Produce is not only one of the most expensive items per calorie, but also one of the most perishable. Due to the inability to get fresh produce those most in need often do 21 May 17, 2018 Regular Board Meeting Agenda Packet- Page 402 of 534 Page 50 of 90 AgLantis: CoCo San Sustainable Farm without the nutrition they need to be healthy. The consequences are a lifetime of medical problems. By growing the food locally at very low cost,we can help those in need to get the nutrients necessary for healthy strong bodies. They can either get these at no cost from the Food Bank or low cost at our farm stand. The revenues from the CSA program will help subsidize discounts for the Salads4Schools and Food Bank programs, giving customers an incentive to buy CSAs from us. E. Risk/Reward Ratio. The primary risk is the cost of the infrastructure, including the cost of the greenhouses. One of the five largest greenhouse manufacturers in the country has donated a 42'X 144'X 25'(height) Solar Light greenhouse, which retails with taxes at about $90,000 (see www.AgraTech.com). The cost of constructing this greenhouse is about$80,000; and the cost of the equipment inside is about $90,000. Other infrastructure is needed on the farm, including fencing, irrigation, roads, barn, refrigeration unit, and teaching structure. These will cost in excess of$100,000,but will be built as funds are available. We have expert volunteers who will help with construction. The cost of these will vary depending on the time and materials donated. Three architects have already donated their time for the Master Plan and building vision. They will probably continue to donate their time for much of the design. E Challenges. 1. Hydroponic Crops. Setting up the hydroponic nutrient film or other hydroponic drip system will have initial high capital investment cost. Greenhouse production also requires expertise for the engineering and Nutrient Film Technique use. MIT's Mission 2014: Feeding the World lists the (N.F.T.) following disadvantages of hydroponic production. "Disadvantages y r Grow Tray • Although the use of advanced hydroponics is cheaper in the "Pumpi �— long run,its initial startup cost is rather high as it is expen- sive to procure the equipment required. Nutrient• The hydroponic conditions(presence of fertilizer and high humidity)create an environment that stimulates salmonella growth. Ai,Pump Reservoir fi • Requires the use of uncontaminated water(salmonella-free water)" In our climate, some heating will be required in the winter and cooling may be required in the summer,which adds additional cost and makes it difficult to cover costs year-round. hlt2://www.ers.usda.gov/media/307169/eff2b I_.pdf Fortunately, we have a greenhouse that has been donated, saving us approximately$90,000 of startup costs. We will be using propane gas for heating and cooling, until we have a solar dona- tion and we retrofit for solar. We will use gloves and other safety procedures to reduce the introduction of unwanted pests to the greenhouse. Our tertiary grade (cleaned with 3 processes)recycled water is constantly tested by CCCSD and will be uncontaminated. It is permitted by the Regional Water Quality Control Board and the California Department of Health and approved for agriculture use. 22 May 17, 2018 Regular Board Meeting Agenda Packet- Page 403 of 534 Page 51 of 90 AgLantis: CoCo San Sustainable Farm 2. Trained Greenhouse Staff. At present, few universities teach hydroponic and aquaponic greenhouse management and hence few employees are available in this industry. We will be hiring individuals who already have some classes, perhaps from DVC's horticulture department and then increasing their training through work. As described above, the farm will also train people in other aspects of science, technology, engineering and also a sustainable food system including: 1) agroecology; 2) conservation of natural resources; 3) water and soils science; and 4) farm management; 5) agritourism (farm events management). 3. Field Crops. Hilary Philips from the NRCD/USDA has visited the farm and confirmed our belief that it will be necessary to spend at least the first couple of years building up the soil organic matter and increasing soil uniformity and ecology. The soil on this farm has been fi _ftL - -x - _ trucked in from construction projects all over the county and has a wide mix of soil types— sandy, full of iron, depleted of organic matter, rich loam. The majority of the soils are sub-soils, with most of the top soil having been removed prior to our taking possession of the land. We will be continuously amending that soil to turn it into rich farmland. The soil had been intentionally compacted with heavy equipment, so we must break up the compaction. We are a no till farm, so we will do this with methods that don't damage the ecology of the soil, including the microbial life we are trying to restore. Hilary Philips has recommended that we plant crops such as deep rooted radishes to break up compaction. As our dirt develops into farmable soil, we will be able to deliver consistently high quality produce from field crops. Another weakness will be concerns about the safety of our food. We must protect against human ander j animal and bird intrusion. Homeless encampments f__ nearby present an ongoing threat and we must work closely with the county sheriff to mitigate this problem. Typical urban pest animals including wild turkeys, rabbits, coyotes, etc. that like produce live nearby. These problems will be mitigated by securing the property is secure with high fences and gates and animal traps. We will cover as many of our young crops as possible with hoop houses or netting to keep birds away. We will follow best-practices for food . . safety. 23 May 17, 2018 Regular Board Meeting Agenda Packet- Page 404 of 534 Page 52 of 90 AgLantis: CoCo San Sustainable Farm G. Marketing Strategy. We will focus on free and low cost publicity from social media and our newsletters. Farm operations will be during daylight hours and some will be visible from Hwy 4. We have already received considerable press coverage and have been on CCTV with our programs. We have an online presence with a website and social media outreach on Facebook, Twitter and S1ideShare. We are listed on some websites and newsletters that will help people find our farm. We will create farm videos and upload these to YouTube to increase our visibility and public education. k. Our educational programs provide marketing for our products, events and services. H. Sales Strategy. Farm sales strategy focuses primarily on sales to schools and the Food Bank. These institutions will provide a consistent revenue stream for the farm. If we have extra produce that schools and the Food Bank cannot use, we will sell Community Supported Agriculture (CSA)boxes to members,picked up on the farm. The Food Bank has already informed us that they want to buy at least 100,000 pounds of fresh produce per year.Another foundation has told us they want to subsidize produce to a local community college pantry, which would probably receive this produce through Food Bank delivery. We will work with the Food Bank and schools to survey their clients to find out what produce they are most likely to eat and then try to grow those crops. The Mount Diablo Unified School District Food Service Director (former),Anna Fisher has written that they serve 3.75 million meals per year and that any reduction in cost that we can provide them would be welcome. Cindy Gershen has replaced her and is very eager to collaborate with us as well. We will be working closely with this school district to provide reduced cost produce. We do not know yet what problems we will encounter meeting the requirements of a school district. I: Strengths Weaknesses Opportunities Threats STRENGTHS: 1. 14.8 acres of public land &recycled water from Central San for$1/Year; 2. Support especially from Central San's Board Member, Michael R. McGill, P.E.; Roger Bailey, P.E., Danea Gemmell, P.E., Melody Lacy, P.E., Don Berger, P.E. and other Central Board mem- bers; 3. Demonstrating how to increase the resiliency of our food system with closed environment agri- culture and urban farming; 4. Demonstrating how to reduce the carbon footprint of food; 5. Increasing public health; 6. Demonstrating how to increase carbon sequestration in soil; 7. Improving our environment; 8. Collaborations with and living classrooms for University of California Berkeley, Diablo Valley College (DVC), Los Medanos Community College, Future Build, John F. Kennedy University, 24 May 17, 2018 Regular Board Meeting Agenda Packet- Page 405 of 534 Page 53 of 90 AgLantis: CoCo San Sustainable Farm National University, Mt. Diablo Unified School District, Martinez School District and other universities, colleges and educational entities; 9. Facility for hands-on Science, Technology, Engineering, Math and other educational training for citizens; 10. Education for future farmers; 11. Well-attended, informative classes and events held; 12. Assisting the green economic revitalization of the Northern Waterfront of Contra Costa County; 13. Professional volunteers donating thousands of hours of time and expertise; 14. Clarity of vision,patience, persistence, determination of AgLantis Board; 15. Visionary elected and other leaders in county and state supporting farm; 16. Major Donors and community members financial support; 17. Major in-kind donations; 18. Collaboration with county leaders; 19. Contract with county to build greenhouse; 20. Positive ongoing press and social media coverage; 21. Huge community citizen support; 22. DVC's Horticulture program and greenhouse providing training; 23. Successfully promoting and raising the awareness and acceptance of the beneficial uses of recy- cled water with citizens and local, state and federal elected officials; 24. Showcase for local businesses and non-profits (e.g.,Andeavor, Ecoloblue, PG&E,AgraTech, USS Posco Steel, EcoMulch, Milani &Associates, Showtime Electric, DC Solar, Food Bank, DoorStep Farmers, County Quarry, Sunrise Bistro, etc.); 25. Wonderful helpful neighbors County Quarry, Ecomulch,Andeavor and hopefully more in the future. WEAKNESSES: 1. The consistent lack of support and confrontational behavior of several of Central San Board Member(s). This has included demanding time-consuming reports not in lease, reports which are not required of other(male-owned) Central San tenants and denigrating the women on Ag- Lantis board. 2. Central San attributing expenses to the farm without clarification and subsequently complaining in public forums (e.g., approximately$25,000 spent to change AgLantis'Kickoff Event plus cost of staff time to meet Central San needs; cost of hiring unwanted experts to provide an un- needed Wildlife Management Plan when what we needed was written by our expert Bethallyn Black; Costs for the Kiewit property being attributed to the farm such as the Public Works and other costs of processing Central San's recycled water fill station and also the additional costs due to using up AgLantis'C-3 allotment; we believe the cost of erosion control for the Kiewit property was attributed to the farm and staff time for all of these. Our concern if Central San wants to do something on its own or for the entire Kiewit property is the district's attributing these unrequested costs and staff time to AgLantis and then complaining about these costs in public forums; 3. It is demoralizing that Central San has not acknowledging savings the farm accrued:Aglantis saved the Clean Fill Project thousands (estimated $60,000-$70,000)to close out the project without required 33 acres of plantings. These savings occurred due to AgLantis'board member Bethallyn Black providing free consulting for another solution and farm taking over much of the land; 4. It is not clear that Central San has publicly acknowledged the benefits AgLantis has brought to the district including but not limited to considerable positive public relations with press and 25 May 17, 2018 Regular Board Meeting Agenda Packet- Page 406 of 534 Page 54 of 90 AgLantis: CoCo San Sustainable Farm CCTV coverage; enthusiastic support of elected officials, recognition from other sanitary/sani- tation districts for this innovative project; increased public acceptance of recycled water, classes and other public education, environmental protection, mitigating the bird problem on half of the Kiewit Property which had been complained about by the airport as a safety hazard, etc. —all ongoing for years even though AgLantis had not taken possession of the farm until less than a year ago due to processing being incomplete; 5. Central San merged the fill station project into the farm's Land Use Permit described in the Ag- Lantis lease. That triggered C-3 requirements that the farm would not have faced alone. This has caused extra complication, expense, and time delay for additional processing. Central San could have processed a separate permit for their fill station or fulfilled C-3 with self-treatment on the east side of the Kiewit property. Now, the costs and burdens are on AgLantis. 6. Central San leaves the gates to the Kiewit property open where anyone can drive onto the Kie- wit property(and people have been seen driving their trucks onto the east side of the property, one got out and walked a dog and others drove around creating uncontrolled activities because the gates are left open) and then sending email blaming the farm for resultant problems; 7. Soil Quality: lack of organic matter in soil, lack of microbial life and good soil ecology; 8. Highly invasive Class A weeds that need to be eradicated, while present on the east side of the Kiewit property constantly reseeding the farm; 9. AgLantis having been not allowed at table in negotiations with Airport Land Use Commission staff or Contra Costa County staff until late March 2017 creating confusion, delays and other issues; 10. Cost of County approvals, which has been driven up by delays and other problems (see above); 11. Time and process for County approvals; 12. Contra Costa Fire Marshall disallowing using recycled water for fire; 13. Unanticipated cost and difficulty of providing permitted water for fire on site; 14. Always needing to raise more money; 15. Exhaustion overcoming barriers; 16. Need for more professional volunteers to fulfill various roles (e.g., Electrical Engineer); 17. Being across from an airport and always needing to watch and take precautions for airplanes and public safety. OPPORTUNITIES: 1. Opportunity to provide massive public health benefits to the community; 2. Huge community support for AgLantis and the urban farm; 3. Collaboration with University of California Berkeley,National University, Diablo Valley Col- lege, Los Medanos College, John F Kennedy University, Mt. Diablo Unified School District and other educational entities for educational programs and training benefiting the community; 4. Providing economic stimulus for whole county from demonstrating potential for urban farming on buffer land using recycled water; 5. Providing economic stimulus for whole county by demonstrating closed environment agricul- ture and training workforce; 6. Providing educational benefits to students on farm learning STEM hands-on; 7. Greatly increasing the community's environmental protection from teaching sustainable land use practices and agricultural/gardening practices; 8. Growing fresh produce for the county's citizens who suffer from nutritional poverty; 9. Teaching community how to grow fresh produce in their own backyards, especially using Cen- tral San's free recycled water instead of potable water; 10. Promoting Central San's free recycled water fill station program; 26 May 17, 2018 Regular Board Meeting Agenda Packet- Page 407 of 534 Page 55 of 90 AgLantis: CoCo San Sustainable Farm 11. Collaborating with County, Businesses and Non-Profits to foster economic development on the Northern Waterfront and beyond. THREATS 1. Some of Central San's Board Members, after unanimously voting for the farm, making threats and non-lease demands such that AgLantis Board wonders whether to invest in infrastructure and make capital improvements; 2. Homeless and others vandalizing; 3. Damage from catastrophic events; 4. AgLantis Board member burnout from years of volunteering against major obstacles. 7. First Years of Project Unanimous Central San Board Approval to Lease 14.8 Acres: October 3, 2013 AgLantis (501c-3) Founded: February 12, 2014 10-Year Renewable Lease Effective Date: July 3, 2014 Airport Land Use Commission (ALUC) Recommendation of Approval: One Central San staff member told Dr. Phinney he had been instructed to make efforts to interfere with the ALUC's approval of the farm. It took nearly a year for the ALUC to finally approved the farm on May 15, 2015 Land Use Permit: Final application for the Land Use Permit submitted approximately December, 2015.Approval of the Land Use Permit was processed by the Department of Conservation and Development rapidly and it was approved, effective January 1, 2016. Compliance Report for Conditions of Approval: The approved Land Use Permit had many unfulfilled pre-requisites (62 Conditions of Approval plus instructions to go to Contra Costa Fire for approval). Most of 2016 was spent attempting to meet these conditions. The initial compliance report submitted by Central San was rejected by the Department of Conservation and Development(DCD) in 2016. DCD wanted more specific responses to each condition. After the Board of Supervisors gave AgLantis a $50,000 contract to build the greenhouse, the County's Chief,Annexations and Economic Stimulus Programs Rich Seithel requested that AgLantis be for the first time to attend meetings with the Department of Conservation and Development and other departments. We also had not been allowed to attend other negotiations such as those with the ALUC staff. On March 24, 2017 AgLantis attended a meeting with DCD and Public Works staff, a meeting organized by Rich Seithel. This gave us a clearer idea of some of the incomplete Conditions of Approval that AgLantis could work on and we immediately began to fulfill. Some conditions could only be fulfilled by Central San. Some could be fulfilled by AgLantis. Some required both. C-3: This meeting brought to AgLantis'attention a problem that we did not know existed. Public Works staff told everyone that Central San had included their recycled water fill station road in the farm's Land Use Permit and by doing so had used up all the impermeable surface allowed to the farm without tripping C-3 requirements, putting the burden on the farm to mitigate for the fill station's 27 May 17, 2018 Regular Board Meeting Agenda Packet- Page 408 of 534 Page 56 of 90 AgLantis: CoCo San Sustainable Farm impermeable surface.At a later meeting with the Director of Public Works and two staff members, we learned that Central San in paving the fill station driveway was going to pave the first 100 feet up to the farm gate as they described in the Land Use Permit, but they would have exceeded the 10,000 square feet and tripped C-3 requirements themselves, so they did not complete the connection to the farm, instead stopping around 9,977 square feet(or some such) leaving the farm to deal with the consequences of Central San's construction project. This also left the farm to pave approximately 25 feet of Central San's land, which they had removed from the original fill project pavement. The farm could have avoided tripping C-3, had Central San not put their recycled water fill station into the farm's Land Use Permit,but had processed a separate permit for the fill station, which is what Public Works said they should have done. This has caused considerable time, expense and headaches and delays trying to figure out how to mitigate. The AgLantis lease did not state that Central San would put their projects in our Land Use Permit and that we would have the burden, engineering, financial, time, and delays of figuring out the environmental mitigation (C-3) for Central San's fill project. Furthermore,AgLantis cannot fulfill this Condition of Approval on its own,because it requires the land owner to enter into agreements with public works. Separate permits would have given each party 10,000 square feet impermeable surface to stay under not to trip C-3 requirements,AgLantis is now left holding the bag for Central San's impermeable surface and the financial costs for mitigation and for Public Works time spent on this and has been delayed in our progress. We have modified our farm site plan so that our impermeable surface is far below 10,000 square feet. The farm alone does not trip C-3 requirements. https://milanieng.egn3le.com/dl/GNeZYBklXz RPZ Fence. Despite the Land Use Permit's Conditions of Approval being incomplete, we decided that the Land Use Permit process was far enough along that we had confidence that everything could be worked out. Thus, we decided to build the fence around the Runway Protected Zone, our first infrastructure in mid-2017, because the county did not allow us to plant anything until this fence was constructed. More fence has been donated,but not enough to fence the entire farm. The two other sides of the farm will be fenced as funds are available. The west side of the farm is fenced by county, which needs to be repaired. The non RPZ part of the south side of the farm is fenced by CalTrans and is in good repair. Vandals have cut a hole in the RPZ fence, which will be repaired.As Board Member Nejedly predicted early on, vandalism is likely to be an ongoing problem—one that urban farms must deal with at a higher rate than rural farms. Soil Amendments. As stated in our previous business plan, the farm required soil amendments 15 tons per acre for 10 acres. We had an opportunity to receive a donation of about 25 acre feet of spread mulch from EcoMulch. This donation was obtained by Bethallyn Black to provide much needed organic material. We then received a large donation of organic horse manure which we accepted to put over the mulch to create "lasagna" compost on the site. County Quarry has donated tractor and time to spread the manure. We are a no till farm, so we may plant deep rooted radishes to break up compaction, as was suggested by our local NRCS advisor. The amendments will eventually work down into the soil, as the organisms do their work. But that is a slow process that we want to facilitate because the soil was intentionally compacted during the clean fill project, which needs to be reversed. Increasing soil organic matter helps build the ecology of the soil needed for farming. Plants of any sort, harvested or not,bring carbohydrates to their roots through photosynthesis. Exudates from the roots feed the microbial community in the soil, building needed soil ecology.Although drought has made it impossible to maintain a cover or harvestable crop, whatever has grown has fed the microbes in the soil 28 May 17, 2018 Regular Board Meeting Agenda Packet- Page 409 of 534 Page 57 of 90 AgLantis: CoCo San Sustainable Farm and helped build soil ecology. Fire: We have encountered another unexpected barrier. It was always discussed that the farm would use recycled water for fire as no potable water is available on that section of Imhoff that leads to the farm or any other tenant.After the March 24, 2017 meeting Dr. Phinney went to talk to the Fire Department. The person at the desk provided helpful information and went back to talk to the Fire Marshall, who said he had never heard of this farm and that Fire should have been consulted before the Land Use Permit was issued. We were told a special permission would be needed to use recycled water for fire. Later conversations took place with Fire Inspectors by Mike Milani and also with Dr. Phinney. We were both told that same thing, that special permission would be required. Then, the Fire Marshall disallowed such use. Dr. Phinney checked with her Moraga Orinda Fire District and they do use recycled water for fire, as does Livermore and San Diego and many others. EBMUD does not object to the use of recycled water in their district, according to an email from Board Member Marguerite Young,but she noted that their recycled water lines do not provide the volume and pressure typically needed for fire. She noted that indirect and direct potable reuse will bring recycled water to fire automatically in the future. Don Berger reported that Central San already uses recycled water for fire sprinklers in its plant and has a purple recycled water hydrants. Now, the farm has the burden of either overcoming this barrier with hundreds of hours of political lobbying or with considerable expense to bring in potable water and time and expense of negotiating with fire to meet their auto-refill requirements. This issue has already been brought to the attention of Assemblywoman Baker, Senator Glazer, Supervisor Mitchoff, Supervisor Glover, Supervisor Burgis and Congressman Jerry McNerney. Dr. Phinney has an appointment with Supervisor Federal Glover in a few days to discuss this issue. Title 22: As described in the lease, Central San is applying for Title 22 permits for agriculture and fire. Mike Milani has been donating the engineering for the detailed site and irrigation plan needed for Title 22, coordinating with Central San staff and consultants. Current draft: https://milanieng.egnyte.com/dl/GNeZYBkIXz Irrigation: Once Title 22 approval for the irrigation plan is obtained,AgLantis will apply for grants from Lowes Foundation and others to pay for the irrigation equipment. 10,000 linear feet of 1/2"drip irrigation line has already been purchased (75% off sale).AgLantis will look for a supplier of the 1" purple recycled water pipe for the perimeter supply pipe needed to run recycled water to the entire site. This will be installed in segments and capped off, so that zones of a few acres will be completed with everything needed to water crops before moving forward to do another zone. 8. Objectives for 1St Three Years of Operation A. Objectives for 1St Operational Year(2017-2018): 1. Work on obtaining or obtain the needed state and county permissions and permits; 2. Fund-raise more than $40,000 in cash and/or in-kind donations; 3. Enrich dirt with organic amendments to begin to create farmable soil; 4. Begin to build the physical infrastructure needed for the farm; 5. Hold one or more classes to foster environmental and/or STEM education; 6. Engage members of the community in gardening, classes, donating, and/or volunteering; 7. Continue to raise public awareness about recycled water and protecting the environment 29 May 17, 2018 Regular Board Meeting Agenda Packet- Page 410 of 534 Page 58 of 90 AgLantis: CoCo San Sustainable Farm using the press, social media, and email marketing by press coverage, internet marketing, social media marketing, classes, and word of mouth; 8. Involve students and teachers from local communities; VU3 ' } .h Pi aVl 9. Continue to update website; 10. Run a frugal, fiscally responsible operation; 11. Have no deficit spending; 12. Complete Annual Report by April 1, 2018; 13. Fulfill all performance requirements of the lease. 14. Continue planting perennial Opuntia around the perimeter. B. Objectives for 2nd Operational Year(2018-2019): 1. Continue to work on obtaining or obtain the needed state and county permissions and permits; 2. Continue to build infrastructure; 3. Fund-raise at least $40,000 in cash or in-kind donations; 4. Enrich and build the soil; 5. Hold one or more classes to foster environmental and/or STEM education; 6. Start planting some hedgerows; 7. Plant a green manure or other crop on at least 5 acres; 8. Engage members of the community in gardening, classes, donating, and/or volunteering; 9. Continue to raise public awareness about recycled water and protecting the environment using the press, social media, and email marketing by press coverage, internet marketing, social media marketing, classes, and word of mouth; 10. Involve students and teachers from local communities in the farm; 11. Have key staff and volunteers certified as Site Supervisors for Recycled Water Use Permit; 12. Update website; 13. Run a frugal, fiscally responsible operation; 14. Have no deficit spending; 15. Complete Annual Report by April 1, 2019; 16. Fulfill all performance requirements of the lease. 30 May 17, 2018 Regular Board Meeting Agenda Packet- Page 411 of 534 Page 59 of 90 AgLantis: CoCo San Sustainable Farm C. Objectives for 311 Operational Year(2019-2020): 1. Continue to work on obtaining or obtain the needed state and county permissions and permits; 2. Continue to build infrastructure; 3. Fund-raise at least $40,000 cash or in-kind donations; 4. Continue to enrich and rebuild the soil; 5. Plant a green manure or other crop on as many acres as possible; 6. Obtain some equipment for the greenhouse; 7. Grow produce for Food Bank and/or schools; 8. Plant more hedge rows as wind breaks as needed; 9. Hold one or more classes to foster environmental protection and/or STEM education; 10. Engage members of the community in gardening, classes, donating, and/or volunteering; 11. Foster bees and other beneficial insects on the farm; 4. 1 k�r � l•' R 4 r_.. 12. Continue to raise public awareness about recycled water and protecting the environment using the press, social media, and email marketing by press coverage, internet marketing, social media marketing, classes, and word of mouth; 13. Involve students and teachers from local communities in the farm; 14. Update website; 15. Run a frugal, fiscally responsible operation; 16. Have no deficit spending; 17. Complete Annual Report by April 1, 2020; 18. Fulfill all performance requirements of the lease. 31 May 17, 2018 Regular Board Meeting Agenda Packet- Page 412 of 534 Page 60 of 90 AgLantis: CoCo San Sustainable Farm 9. Goals for the Next 5 Years 1. Raise $200,000 II. Create Fundraising Plan A. Fundraising Events B. Newsletter Solicitations C. Social Media Solicitation D. Grants and Contracts E. Foundations F. Business Major Donors G. Individual Major Donors H. Crowd-Funding III. Create Education Program to Teach & Train Community A. Sustainable Practices B. Environmental Science C. Water System and Recycled Water D. Provide Hands on STEM Experiences E. Collaborate with Future Build, DVC's WRKX, etc. to provide training opportunities to students F. Food Demos of Plant Based Meals G. Link to National University and other school programs H. Educational Events I. Conferences: Sustainable Ag and Food System Conference IV. Plant 5-10 Acres of Hedge Rows,Fence Barriers, Trees, Cover Crops, and/or Field Crops A. Connect to Central San's recycled water line B. Install Sand Filter C Install Main Line D. Create Beds E. Install 1" Distribution Lines F. Install Solar Valves G. Install Drip Irrigation H. Plant Hedge Rows I. Plant Cover Crops and/or Vegetable Crops J. Mulch Walkways K. Weed Control and Maintenance L. Harvest any vegetable crops 32 May 17, 2018 Regular Board Meeting Agenda Packet- Page 413 of 534 Page 61 of 90 AgLantis: CoCo San Sustainable Farm V. Build Infrastructure and Greenhouse A. Complete Revised Site Plan B. Complete Title 22 C. Complete Permit Process and Approvals D. Install PG&E Connection E. Install Recycled Asphalt Roadway F. Fire Water Tanks G. Build Greenhouse H. Obtain Some Greenhouse Equipment I. Install More Fence VII. Increase Volunteer Involvement A. Professional Volunteers B. Farm Volunteers 10. Key Performance Indicators (KPIs) I. Money Raised II. Fundraising Plan Implementation Indicators III. Events with Public Taught IV. Number of Students and Citizens Taught V. Community Outreach:Approximate Number Reached with Newsletter, Educational Content, Events, Conference(s), Social Media VI. Acres of Irrigation Installed V. Number of Acres of Hedge Rows, Fence Barriers, Trees, Cover Crops, and/or Field Crops VI. Acres of Produce Planted VII. Items of Infrastructure Built VIII. Number of Professional and Farm Volunteers 33 May 17, 2018 Regular Board Meeting Agenda Packet- Page 414 of 534 Page 62 of 90 AgLantis: CoCo San Sustainable Farm 11. Financial Data A. Projection Assumptions 1. Cost of Production. 2023 may be the first year of significant production - is conservatively set at 53.41%based on Dun and Bradstreet for Agricultural Production cost of sales and materi- als. The cost of goods produced includes salaries, seed, equipment, and all the costs associated with production. 2.Decrease in Costs. The decrease in Cost of Production by 2023 to 45% is based this farm's reduced cost due to infrastructure already built. 3. 2018-2023 will focus on enriching soil and will _ } yield few field crops. Once the AgraTech greenhouse t is built, we will be producing potted plants and seed- lings for sale and a few crops such as basil. Revenues will come from sales events, donations, events, grants and donations. We will be engaging in con- ventional greenhouse growing until we raise the ap- proximately$90,000 for equipment for hydroponics. 4. Hydroponics. By Year 4, the greenhouse will be producing some herbs and/or vegetables for the Food Bank and/or schools. 5. Education Costs. Teaching expenses are not related to Revenues or the Cost of Production. Hence Education costs are broken out into a separate expense category that does not yield in- come. 6. Price of Produce. Our produce price to the Food Bank will remain relatively stable and a small fraction of what would be charged to wholesale or retail clients. Our prices to schools and other non-profits that feed people who are vulnerable will be subsidized compared to wholesale. Although we will keep our prices at the low end of the market, we believe our other customers will pay increasing amounts for fresh produce, as prices are rising. http://blogs.wsj.com/eco- nomics/2014/04/15/attention-shoppers-fruit-and-ve-etg able-prices-rising_/ 7. Grants and Donations. The 5-year projections assume grant, contracts, and donation and other income of about $40,000 per year, including in-kind donations. 8. Growth Rate. Gross revenues from all products, grants, and donations will increase as potted plant sales and crop sales increase. 9. Proiected Profit, Loss, and Cash. During the first few years, the farm is expected to re- ceive in-kind donations, gifts, monetary donations, grants, contracts and crowd-funding and in- kind donations. Our goal is to raise more than $40,000 per year or at least $200,000 over 5 years in cash and in-kind donations. Our operational expenses will break even with our revenue because we do not intend to take out loans. 10. Revenue and Costs Forecast. Growth in sales should increase quickly once the greenhouse is built. Sales will be highest during the spring and summer months and will decrease during the wet months when only crops inside of greenhouses can be sold. There are some risks. 34 May 17, 2018 Regular Board Meeting Agenda Packet- Page 415 of 534 Page 63 of 90 AgLantis: CoCo San Sustainable Farm Homeless or others have already vandalized our new RPZ fence.Although weather will affect the field crops, where irrigation is installed and operational, the availability of an unlimited supply of water will reduce risk due to drought or excessive heat as the crops can be watered in accordance with recycled water use guidelines to cool the crops and soil. Frost could damage uncovered crops. Unusually cold spring or summer would reduce production. Pests could negatively impact production or eat our crops. Traps will be used to capture mammals that eat the crops. Wild turkeys will be a difficult problem unless we use hoop greenhouses to cover the crops. We will use integrated pest management strategies to reduce the risks from insects. We expect sales to increase each year after our soil is fertile, irrigation is installed and the greenhouse is built. B. Farm Products 1. Produce Sales. The products are categorized into categories based on type of product and pricing. Produce Sales are broken down into weekly CSAs, Fresh Herbs, Food Bank, Schools/Non-Profits and Wholesale/Businesses as separate categories. 2. Herb Sales. Our CSAs will include fresh herbs. We will also sell these as a separate item, including basil which is a very popular item, as well as rosemary, oregano, parsley, thyme, and cilantro. We will price these at the low end of farmer's market pricing, using local markets. 3. Potted Plants and Seedling Sales.A significant portion of our revenue in early years will come from plant sales. These estimates are based on the plant sales for Diablo Valley College, which bring in about $40,000 per year. We do not expect to have sales that equal that the first year,because we have not developed the customer base. Hence,we estimated less than Diablo Valley College's typical revenue from sales because they have a regular customer base that is established. 4. Events and Classes. All of the classes we have planned currently will be for a small fee. 5. Conferences.AgLantis may collaborate with other county groups to hold one or more con- ferences with various presenters. There will be an attendance fee. C. 5-Year Income Projections. Net Income is expected to very low over the first 5 years of operations. The slow growth in net income is due to the need for major infrastructure and capital and equipment expenditures. It has become clear that 5-year projections would be wildly speculative, given that we don't even have Title 22, Fire approval, or C-3 mitigation plan, Public Works Approval and more for the project.All of the engineering for Title 22 has been submitted to Central San to submit to the state. We have no idea how long this process will take. We have inorganic soil, that is effectively barren and sterile and we are working to build the organic matter and microbial ecology of the soil with mulch and manure. The microbial community needs plant exudates for food and plants require irrigation, which requires Title 22 permission.Nature rebuilds, but the process of farmable topsoil that can maintain healthy organic food is slow. It's fascinating and great for public education,but estimating the dollars of revenue from selling produce to the Food Bank, schools, etc. is not realistic at this time. 35 May 17, 2018 Regular Board Meeting Agenda Packet- Page 416 of 534 Page 64 of 90 AgLantis: CoCo San Sustainable Farm 12. Assessment of Outcomes We anticipate that our annual report the following outcomes and we will set up methods to keep rec- ords that address these. A. Infrastructure and Capital Improvements. Records of the types of infrastructure built and the costs will be maintained. B. Planting Data. Data on what seeds are # planted, days to harvesting, and yield and other ti critical planting data variables will be main- � tained. C. Harvesting Data. When harvestable crops are grown, we will keep track of the products harvested and quantity in pounds and/or bush- _ els or other units. D. Cost Data.We keep detailed records of how our money is spent and categories, so that we understand the costs of our activities. E. Produce Donation Data. When produce is available for sale, it will be measured in appropriate units and we will record such general information about when it was picked, by whom(volunteers or paid workers), how it was transported and distributed, any monies paid, and to whom it was given. The price paid for each category of produce by each category of buyer will be documented. Some buyers like the Food Bank may pay by the pound. Others may pay by a bulk price in the form of a CSA. We will record the quantity of each sellable quality item that is produced and the various price categories and quantities sold within each. F. Security and Safety Data.We will document any safety issues and problems. G.Volunteer Data. We are focusing on highly trained volunteers, 18 years old and above. We will have each volunteer fill out forms and waivers, and parents or guardians complete waivers if they are not adults. We will track of how the volunteer learned of the farm, how many volunteers work on the farm and the approximate number of hours of time donated. We will track any affiliations they wish to provide us, such as employer or non-profit or group with whom they are affiliated. We will also record if they support the farm in other ways, such as purchasing a CSA or other products or services. I. Classes Data. We will keep track of the classes taught, by whom, what was taught and when and where and approximate number in attendance. J. Community Outreach Data.We intend to outreach to the community through our website, social media, the press, CCTV and other media outlets. We will estimate the approximate number of people reached. 36 May 17, 2018 Regular Board Meeting Agenda Packet- Page 417 of 534 Page 65 of 90 AgLantis: CoCo San Sustainable Farm 13. Management Team A. AgLantis Board Carolyn Phinney, Ph.D. is the co-Founder and President of AgLantis and Executive Director of the farm. Dr. Phinney has primary responsibility for fund-raising, grant-writing, obtaining in-kind contributions, volunteer recruitment, developing infrastructure, and financial management. Dr. Phinney has a Ph.D. in research psychology from the University of California, Berkeley and is a retired university scientist and teacher. Dr. Phinney has been a community activist and organizer for more than two decades. Dr. Phinney has created the momentum to bring support from state, county, city, and school board elected officials, the top public health official in the county, church leaders, the director of the Food Bank, food and environmental activists, business supporters, the Contra Costa County Resource Conservation District and thousands of supporters among community 2000+ of whom signed a petition to CCCSD asking them to allow the public buffer land to be used for this farm. Dr. Phinney taught and conducted research at the University of Michigan,Ann Arbor where she ran a large research laboratory and wrote many Federal and foundation grants. In the mid-1990s, Dr. Phinney completed a year-long internship with a large consulting firm Dannemiller-Tyson Associates in Ann Arbor, MI, training in long-term strategic organizational planning and change. Dr. Phinney has extensively studied team-building and creating high performance teams and has been a consultant for other consultants who were trying to boost team performance. She has taken SBA courses and regularly attends business webinars and seminars. She completed the Entreprenurial Leadership certificate program at John F Kennedy University's Institute for Entrepreneurial Leadership. Dr. Phinney is an elected member of her party's county central committee and has been a political activist and organizing leader for decades. She has 20 years of experience organizing and leading volunteers and has twice won awards for her volunteer efforts (1997 and 2014). Dr. Phinney was the field organizer for her county party in 2010 and lead a large group of volunteers to her party's delivering approximately 10% of the official party slate cards in the state throughout the county, winning most Federal, State, County and local races. She is closely connected to federal, state, county, local elected officials, school and Community College Board members and other leaders in the community many of whom have already openly supported the farm. The political contacts and savvy are particularly important because the best land to use for replication is sanitary district land, which is controlled by public officials. Dr. Phinney has extensive experience in the use of online, social media, and email marketing. One of the groups she founded reached more than 2 million people with one of her posts. Dr. Phinney has obtained considerable press interest and coverage and also used social media to bring wide support and visibility to the farm. Bethallyn Black, M.A. is co-Founder of AgLantis and is the Vice-President and Treasurer of the Board of Directors and is the Farm Director. Professor Black is faculty at Diablo Valley College and is the primary faculty member in charge of the Horticulture program. Professor Black has a Masters in ecology, agriculture and andragogy from New College of California. She has her certification in permaculture design and has completed the University of California's Landscape Architecture program. She is an Adjunct Professor at JFK University. Professor Black teaches Soil Science; Integrated Pest Management; Plant Production; Irrigation; Introduction to Horticulture; Pruning; and Horticulture Therapy. Professor Black was the University of California Cooperative Extension's Urban Horticulture Program Manager(1997-2009). She is one of the top Master Gardeners in the county, having taught approximately 500 Master Gardeners. Professor Black has taught beginning and advanced classes in 37 May 17, 2018 Regular Board Meeting Agenda Packet- Page 418 of 534 Page 66 of 90 AgLantis: CoCo San Sustainable Farm Botany; Ethnobotany; Rainwater Harvesting; Water Conservation; Small Scale Urban Farming; Pest management;Arboriculture; Plant ID; Landscape Design; Plant Propagation; Greenhouse Management; Water Science; Vermicomposting; and Soil Management. Professor Black has helped found and managed a 5.8-acre farm in Marin called the Indian Valley Organic Farm. This innovative organic teaching farm is a unique collaboration between the College of Marin, the Conservation Corps North Bay and UCCE Extension, Marin and is a model for the farm. https://www.youtube.com/watch?v=Zjl2PAYQIQk For more than 20 years, Professor Black has been the owner and operator of`A Woman's Touch' landscape design and installation company(California Landscape Contractor C27 #523601), specializing in regionally appropriate, organic landscapes, emphasizing edibles and natives. Professor Black will develop some of the classes taught on the farm. Other teachers have used the farm for classes and will continue to do so. Professor Black has a long history of working with CCCSD on such projects as their integrated pest management program. She has many close friends in the organic farming community and in the Agriculture Department at the University of California, Davis, where she works. Professor Black will be the Farm Director(our"Farm Guru") in charge of Farm Operations and Curriculum Development. Maimoona Ahmed, M.S., is Secretary on the Board ofAgLantis. Mrs.Ahmed holds a B.S. and M.S.in both Nutrition and Sociology from Cornell University. Mrs.Ahmed has experience doing nutrition field work in Guatemala, Costa Rica. She lived in an Andean Community in Peru doing field work for her thesis which focused on food habits. Mrs.Ahmed was Chief Nutritionist in Pediatrics at New York University Medical Center in New York City. Currently, Mrs.Ahmed works closely with the Interfaith Coalition of Contra Costa County and has helped organize several interfaith events of the last few years. B. Personnel Plan. All Board Members engage in outreach to the community and raising awareness about the farm and its environmental and other benefits and determining what events and/or confer- ences will be held. Dr. Phinney is responsible for site development, organizational development, farm permits, grant-writing and fund-raising, website maintenance, event planning, volunteer recruitment and social media. Professor Black manages the farm operations and teaches at some events. Professor Black may teach some classes at the farm. Mrs.Ahmed will be our nutrition consultant and liaison to the Food Bank and schools,helping plan what we grow. Mrs.Ahmed will also teach some aspects of good nutrition at events and/or conferences. The farm expects to hire an experienced organic farmer perform the day-to-day planting and harvesting of crops within the first 5 years of operation. Once the greenhouse is built and funds are raised, the farm will hire farm staff with some training in greenhouse growing and farming in fields. This is likely to be one or more students from Diablo Valley College's Horticulture Department. Part-time,personnel may be hired to harvest crops and other farm work. And the Workforce Development Board may pay for interns to work on the farm and learn job skills. C.Volunteers. We believe many volunteers will help with planting and harvesting crops and other activities. Volunteers will vary in expertise. We have already had approximately 40 volunteers worked to clean up debris and rocks from the farm on Martin Luther King Day in 2012. They happily worked all day and most said they couldn't wait to come back on a regular schedule. When we begin to use recycled water, volunteers will be required to attend training at the Central San HHW facility. When youth are present,Airport Safety Zone 2 requirements and instruction will be given. 38 May 17, 2018 Regular Board Meeting Agenda Packet- Page 419 of 534 Page 67 of 90 AgLantis: CoCo San Sustainable Farm a.. k ti i K 14. Organization A. Overview: AgLantis is a CA Non-profit Public Benefit Corporation, 501c-3.AgLantis was founded February 14, 2014 for charitable and educational purposes. The Articles of Incorporation state: "The specific purposes for which this Corporation is organized are to provide charitable and educational services by: (a) Promoting the conservation and utilization of natural resources, especially public lands and recycled water, to enhance sustainable, healthy living; (b) Providing education to the community that fosters sustainable living practices to reduce the negative environmental impacts of human activity and increase health; (c) Deploying under-utilized natural resources to feed people and reduce nutritional poverty with sustainable agricultural and food web practices that protect the environment; (d) Focusing efforts especially on augmenting pathways between schools, higher education and careers; (e) Focusing especially on benefitting disadvantaged populations such: as at-risk youth, veterans, disabled, immigrants and/or those under-served; and (d) Collaborating with,promoting and sponsoring programs that share these goals. These purposes are in alignment with CCCSD's mission as illustrated on their website http://www.centralsan.org//. AgLantis has three board members: President, Carolyn Phinney; Vice- President and Treasurer, Bethallyn Black; and Secretary Maimoona Ahmed, M.S. B.Accounting:AgLantis is planning to hire a Bookkeeper. C. Legal:Attorney Pam Bouey, Walnut Creek, has provided pro Bono services on the lease. We hope 39 May 17, 2018 Regular Board Meeting Agenda Packet- Page 420 of 534 Page 68 of 90 AgLantis: CoCo San Sustainable Farm to find another attorney who will provide services for the long term on a pro Bono basis. D. Insurance: AgLantis will maintain the insurance required in the lease with CCCSD. 7.2.1 General Liability. Insurance, including contractual liability, independent contractors, and broad form property damage coverages. This insurance shall be in a comprehensive occurrence form with an endorsement naming the District as an additional insured and with a standard cross- liability clause or endorsement. Once the farm is in full operation, the limit amount for this insurance shall not be less than$5,000,000 per occurrence combined single limit for bodily injury and property damage. 7.2.2 The insurance policy described above shall include the following provisions or have them added by endorsement: (a) The coverages shall be primary, and no other insurance or self-insurance such as may be utilized by the District shall contribute to a loss under the policy. (b) The policy shall not be canceled or materially altered without thirty(30) days prior written notice to the District. (c) The certificates and endorsements are to be signed by a person authorized by the insurers to bind coverage on their behalf. 7.2.3 The insurer(s)utilized shall conform to the following terms: (a) Insurers shall have at least an"A"policyholder rating and a"VII" financial rating in accordance with the most current Best's Key Rating Guide. (b) Tenant shall furnish to the District, no later than ten (10) days prior to the expiration of the current insurance, with adequate certificates of insurance and with original endorsements affecting coverage as will demonstrate that the provisions and/or requirements of this section have been complied. (c) Tenant shall provide thirty(30) days'prior written notice to the District before the policy is canceled or materially altered. 7.2.4 Tenant shall maintain Workers'Compensation and Employer's Liability coverages per the statutory requirements at the location of work and to the extent included under the Workers' Compensation Insurance Policy. Tenant shall also maintain coverage pursuant to the general liability policy or through endorsements or through separate insurance policies which provide coverage for products liability,bee stings, and other potential agricultural dangers as well as with the aviation liabilities associated with proximity of the Premises to an airport. 7.2.5 The District reserves the right to require receipt of complete copies of all required insurance policies at any time. E. Security and Physical Safety: Security and Physical Safety Plans will be developed as needed. 40 May 17, 2018 Regular Board Meeting Agenda Packet- Page 421 of 534 Page 69 of 90 AgLantis: CoCo San Sustainable Farm 15. Keys to Success The success of our business will be determined by building a high-performance team, producing fresh, wonderful-tasting produce; having a genuinely supportive relationship with Central San, and obtaining community involvement to carry us forward with inspiration, expertise and collaboration. "Better is possible. It does not take genius.It takes diligence. It takes moral clarity. It takes ingenuity. And above all, it takes a willingness to try." Atul Gawande,2007 41 May 17, 2018 Regular Board Meeting Agenda Packet- Page 422 of 534