Clearlake planning commission upholds approval for Mud Slingers drive‑through despite small‑business concerns

The Clearlake Planning Commission voted to deny an appeal from Sisters Coffeehouse and uphold the director’s approval of Administrative Use Permit AUP2020‑17 for a Mud Slingers drive‑through at 14760 Olympic Drive.

City staff described the project as a roughly 160‑square‑foot kiosk on a parcel of about 1 acre in MUX (mixed‑use) zoning with approximately 14 parking spaces (including one ADA space), a 12‑foot‑by‑250‑foot stacking lane, one drive‑through window and one walk‑up window, and limited outdoor seating of about three tables. Staff said the typical hours proposed are weekdays 6 a.m. to 6 p.m. and weekends 8 a.m. to 5 p.m., and that the project qualified for a categorical exemption under the California Environmental Quality Act (CEQA).

Diane Drake, co‑owner of Sisters Coffeehouse and the filing appellant, urged the commission to reject the permit, saying the site is too close to existing coffee shops and would threaten small, family‑run businesses. "Why would Mud Slingers even wanna open within 0.3 miles of 2 other coffee shops if not to hopefully put 1 or both of us out of business?" Drake said, describing Sisters as "our livelihood" and saying the business had survived fires and the pandemic.

April, a Mud Slingers representative, told the commission the company operates as a licensing model rather than a deep‑pocket franchise and that it evaluates site viability using demographic and traffic data. "We don't just allow someone to open a town without going through a process of a business plan and crunching numbers," April said, adding the firm does not "open a store in a town just to open one" and that the local licensees are expected to be active in the community.

Several residents and business owners spoke during public comment. James Hummel said he had "seen these girls work" and urged the commission to protect the established local shop; Dave Hughes asked whether the city had solicited Mud Slingers and whether any lease or rent terms represented a below‑market incentive, calling it important to know whether the city was acting as a developer.

City planning staff responded that Mud Slingers approached the city seeking sites, that the city entered a ground lease and would provide utilities while the applicant constructs the building and pays utilities and rent, and that the application met the zoning ordinance’s requirements and standard conditions. Staff also reiterated that the project had been reviewed under CEQA and determined to be categorically exempt, which did not require a full traffic study for a project of this size.

After discussion, Commissioner Wilson moved to deny the appeal (PC Resolution PC2021‑19) and uphold the director’s approval of AUP2020‑17 along with categorical exemption CE2020‑06. The motion was seconded and passed on roll call with the commissioners present voting in favor. Chair Davis called the motion passed; staff later clarified that the practical result is that Mud Slingers’ application is approved and may proceed.

The planning commission’s action does not change the specific permit conditions applied during administrative review; those conditions remain in the administrative record. The commission did not vote to revoke or modify the permit. Next procedural steps are for the applicant to meet any permit conditions and building/utility requirements before opening.