Sunday, May 15, 2011

Winery approval marks a milestone in regional viticulture

            Although it will be a while before they’ll pop a cork on wines produced from grapes at their Terrebonne vineyard, Cindy and Roger Grossmann have a reason to celebrate. And the good news came on Friday the 13th .
            In a decision dated May 13 Deschutes County hearing officer Karen Green found that the Grossmann’s Faith Hope & Charity vineyard qualifies to establish an onsite winery on part of a 164 -acre parcel.
It would be the first approved for Deschutes County under a state statute allowing wineries associated with vineyards as an “outright use” on agricultural land zoned for Exclusive Farm Use, or EFU.
At issue in the decision was whether wine grapes already planted on the Grossmann’s farm in the Lower Bridge Way area met the statutory minimum requirement of 15 acres for a vineyard.
The Deschutes County planning staff had interpreted the law to require that grapes already have been produced to qualify.
However, Green wrote that, “I have found there is no requirement that the winery produce wine from grapes grown on site, but that the onsite vineyard must be maintained as a viable farm use on the subject property.”
Green also found the Grossmanns could meet a requirement that  revenue from  “incidental” goods and services, such as wedding and other events, not exceed 25 percent of those from wine sales, and that there is “direct access” by a road and easement that would not require mitigation to protect adjacent farm operations.
The proposed winery location already meets minimum setback requirements by a large margin, Green concluded.

View to proposed "barn" winery across vineyard
 at Faith Hope & Charity

Some opponents had claimed the winery would be a “pretext to create a lucrative wedding venue” Green noted. But she said that was unlikely given that the Grossmanns provided evidence of spending more than $1 million to develop their vineyard, including $375,000 for purchase and planting of vines and a drip irrigation system.
To monitor sales ratios, Green said the Grossmanns must submit an income statement to the Deschutes County Planning Division by April 15 each year to verify that not more than 25 percent of gross income is derived from sources other than wine sales.
Contracts for events such as weddings must also require that guests purchase a minimum 10 cases of wine.
The decision came five months after the Grossmann’s filed their application and followed a March 8 public hearing on the county planning staff’s report. At that hearing and in submitted comments some opponents of the winery argued that the winery and associated events would not be compatible with neighboring agricultural uses.
But Green found that, “the statutory standards applicable to wineries do not authorize the county to consider the proposed winery’s compatibility with surrounding land uses.”
She said those issues had been addressed by the legislature when it amended ORS 215.452, which authorized wineries as an accepted use on EFU land, to also allow events such as weddings.
Green also concurred with statements by the Grossmann’s attorney, Andrew Stamp, that lawmakers did not intend to require wineries produce wine only from grapes grown from their onsite or adjacent vineyards, “exclusively or at any particular time.” The legislature recognized the “apparent practice” in Oregon of acquiring grapes from other sources as their vineyards mature, she wrote.
The namesake "Three Sisters" from
Faith Hope & Charity Vineyard
The Grossmanns have a contract to purchase grapes from Monkey Face Vineyard near Smith Rock State Park . The wine will be made from those grapes for the Faith Hope & Charity label by Pallet Wine Company in Medford until their vineyard, planted in 2010, reaches production maturity—probably in three to five years. The also have a working relationship with Zerba winery in the Milton-Freewater area.
One opponent of the winery questioned whether the vineyard could produce grapes on a sustaining basis given climate and soil conditions. Green concluded that the 15 acre vineyard must remain in production for the winery to qualify as an outright use on the EFU property.
The Grossmanns have planted French-American hybrid varietal grapes similar to those which have successfully produced wine grapes for several years at Monkey Face, which is at a higher altitude. Monkey Face has also supplied some grapes used in wine made by Maragas Winery, which was approved in Jefferson County under a different standard than the Grossmann’s operation. As yet Maragas does not have 15 acres in vineyards.
French-American hybrids, such as Marechal Foch, Le Crescent, Frontenac and Leon Millot, have been found to thrive in colder climates such as the Northeast and Upper Midwest.
Other findings in the hearing officer’s decision included a requirement that food service be confined to that allowed for a “limited service restaurant.” The winery can only serve food prepared and pre-packaged in individual portions “completely enclosed in those packages.”
The decision said conditions related to the county’s approval of a guest ranch on part of the winery and vineyard parcel would remain in effect. A site plan for the property calls for the proposed winery be moved from a “barn” to another location on the 164 acres. The site would eventually include guest ranch cottages and other amenities.
Other requirements in Green’s findings included compliance with existing state liquor license rules; county plan review and building permits; adequate off-street parking; directional signage; and providing staff to control event traffic.
The Oregon Liquor Control Commission approved a liquor license for the winery in late April.