Kendall only managed a one-under 71, while McKenzie used an eagle, four birdies and a bogey for a five-under 67. Blanks had the lead to himself until bogeys at his last two holes gave him a three-under 69.
The trio finished 54 holes at 12-under 204.
Chris Smith (68), Tommy Tolles (69) and Brendon de Jonge (64) share fourth place at minus-10.
The second round was completed on Saturday after several weather delays on Friday forced the round to be suspended due to darkness. The field finished on Saturday and the tournament is back on schedule.
Kendall started brilliantly on Saturday with three birdies in his first five holes. Bogeys around the turn at nine and 11 pushed him down the leaderboard and brought several others back into the tournament.
Kendall bogeyed the par-four 16th, but got a stroke back with a 10-foot birdie at the par-three 17th. He parred the closing hole to get in at 12- under, which was good for the lead after some late miscues from Blanks.
'It was nice getting that birdie on the 17th hole,' said Kendall. 'That was huge for me. I was just trying to hang on to Kris' shirt tails.'
Blanks birdied his first five holes on Saturday, but bogeyed the sixth. He bogeyed No. 9, but back-to-back birdies at 13 and 14 gave him sole possession of the lead.
Blanks bogeyed 17 and 18 as he made a mess of his third and fourth shots on the final hole.
'To make bogeys on Nos. 17 and 18 is just awful,' said Blanks. 'But I'm still leading. That's the silver lining.'
McKenzie plugged along with three birdies in his first 10 holes. He eagled the 14th from 30 feet to reach 12-under par, but a bogey at the 16th dropped him down the leaderboard.
A 30-foot birdie at the last hole got McKenzie into the clubhouse first at 12- under. It ended up being enough for a share of the lead thanks to Blanks' mistakes at the end.
'Playing better turns everything around,' acknowledged McKenzie. 'I'm trying to look at everything as the glass half-full instead of half-empty.'
Casey Wittenberg (69), Matt Weibring (70), J.J. Killeen (70) and Kyle Reifers (73) share seventh at minus-nine.