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Approve and Order Executed Agricultural Lease Agreement (Agreement) with Gene Wheeler Farms, Inc., (Wheeler) for Approximately 1,680 Acres of District Property at Lancaster Water Reclamation Plant Eastern Agricultural Site (EAS)
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Summary: The District currently leases 1,149 acres of District property at the EAS to Calandri Farms, Inc., for cultivation of vegetable crops using the District’s groundwater rights. The lease with Calandri Farms expires on December 31, 2026. The District does not have an immediate need for the land currently under the Calandri Farms lease or an additional 531 unleased acres available at the EAS. To generate revenue and minimize land maintenance obligations, staff released a Request for Expressions of Interest to local farmers to lease these 1,680 acres, which include several groundwater wells. Wheeler, a farming entity with over 30 years of experience in the Antelope Valley, submitted the only response. Under the proposed Agreement, which commences January 1, 2027, and has a five-year term, Wheeler will use its own groundwater rights to cultivate crops on the premises and pay rent of $65,000 per year. The District can terminate the Agreement if the premises are needed for any reason. Staff has determined that approval of the Agreement is exempt or otherwise not subject to the provisions of the California Environmental Quality Act (CEQA) pursuant to California Public Resources Code Section 21084 and Title 14 of the California Code of Regulation (“CEQA Guidelines”) Sections 15301 and 15304. This item is consistent with the Districts’ Guiding Principle to maximize use of our assets and resources (recycled water, recyclables, and energy).
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