Okay.... It used to ask about that and I see it's not doing so on Ventura. I suspect you'd have to turn off iCloud entirely but I don't think we want to do that.
Try this first, after you turn off Notes in iCloud go ahead and launch Notes. Does it crash? Is there any data there? Can you create a new note to test? When you create a new note, it will likely be filed under On My Mac and not iCloud. If things are working. Quit Notes then go and turn iCloud Notes back on and see if it sync's your data from iCloud.
If none of that works. There is a way to remove the local storage directories where Notes keeps things but it is a bit risky. Doing so should reset Notes to a virgin state where it can rebuild those folders and then sync your data.
With iCloud Notes turned off, quit the Notes App. Then you'll need to move these two folders out of the way.
~/Library/Group Containers/group.com.apple.notes/
~/Library/Containers/com.apple.Notes/
In Finder press Shift+Command+G and type in:
~/Library/Group Containers and press Return
Locate the group.com.apple.notes folder and move it to the Desktop as a temporary backup
Rinse and repeat with ~/Library/Containers and move com.apple.Notes to the Desktop as well.
Then logout or reboot the Mac. Go and turn on iCloud Notes and then launch Notes. It should recreate those two folders and sync your Notes from iCloud.
