A proposed home construction project on the last undeveloped seafront lot on Stinson Beach has raised challenging questions about how the county should manage coastal development in the age of climate change and sea-level rise.

The Planning Commission approved the project on Aug. 28, but neighbors have appealed the decision to the Board of Supervisors, arguing that it violates the California Coastal Act and Marin’s coastal development regulations, which prohibit building in environmentally sensitive habitat…