Sebastopol meadowfoam habitat is threatened by a number of human activities, particularly urbanization spreading out from nearby cities Santa Rosa, Rohnert Park and Cotati. In spring 2005, a controversy erupted when the plant was reported at the site of a proposed commercial/residential development project within the boundary of the City of Sebastopol known as Laguna Vista. State wildlife officials concluded that the meadowfoam had been deliberately transplanted from elsewhere, presumably to block the development project, and ordered the plants to be dug up. Opponents of the project disagreed and have presented testimony from experts who argue that the state used incomplete analysis to arrive at its finding. In spring 2006, the plants reappeared, although officials said they had likely sprouted from seeds scattered the previous year. Sebastopol's city council has yet to make a final decision regarding the Laguna Vista project.