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HomeMy WebLinkAboutCity of SLO Comment Letter Regarding Diablo Canyon Power PlantCity of San Luis Obispo, Office of the City Council, 990 Palm Street, San Luis Obispo, CA, 93401-3249, 805.781.7114, slocity.org February 3, 2026 To: Senator John Laird Assemblymember Dawn Addis Subject: Request for State Legislation Supporting Coastal Land Conservation and Restoration of Tax Revenue for Impacted School Districts and Local Government Service Providers Related to Diablo Canyon Power Plant Dear Senator Laird and Assemblymember Addis: On behalf of the City of San Luis Obispo (City), and consistent with our previous advocacy and current legislative platform, we write today seeking the state legislature’s support for coastal land conservation and restoration of tax revenue that has been eliminated, despite continued operation of Diablo Canyon Power Plant (DCPP). We believe these are essential considerations that must be included in long-term planning during the current extension to 2030 and if continued operation is contemplated beyond 2030 as well. The City Council appreciates your leadership on this issue and acknowledges your letters dated January 30 and February 3, 2026, regarding Diablo Canyon, which are enclosed for reference. The City shares the concerns raised in your correspondence and supports the goals and processes you have outlined. The City has consistently emphasized that any period of continued operation must be accompanied by strong public safety protections, fiscal certainty for impacted local governments and school districts, and continued planning for both eventual decommissioning and future land use. Cities, counties, school districts, and special districts have planned, staffed, and delivered essential public services based on long-standing fiscal assumptions tied to the facility’s operating timeline. As State policy related to DCPP continues to evolve, it is critical that the communities bearing these impacts are treated equitably and not left to absorb the consequences of statewide decisions. As the Legislature evaluates potential actions related to DCPP, the City respectfully urges consideration of the following principles: Public Safety and Emergency Preparedness: The City is located within ten miles from the DCPP in evacuation or “Protective Action Zone” 8. The safe operation of DCPP must remain the foremost priority. Continued operation should continue to be subject to rigorous regulatory oversight and include sustained funding for local and regional emergency preparedness, spent fuel storage security and ongoing long-term planning, public safety services, and other coordination activities that protect the City and surrounding communities. Evacuation planning should be improved, in case of a nuclear disaster. Fiscal Mitigation: School districts and local governments in the region have experienced significant fiscal impacts resulting from changes to DCPP’s operating assumptions, including the loss of historic unitary tax revenues. These revenues, eliminated in 2025, risk causing the loss of classrooms, student services, public safety, infrastructure maintenance, other core community services, and also funding for emergency planning and response while the state’s only nuclear power plant continues to operate. It’s essential that the funding formula used to pay for these services adjust for the unanticipated, continued operation of DCPP and the impact that places on local communities. If it is decided that the previous tax structure is no longer appropriate, we ask that the legislature provide equivalent, reliable fiscal mitigation for affected jurisdictions for the duration of continued DCPP operations. Any alternative approach should ensure fiscal equity among impacted agencies and avoid shifting the financial burden of State policy decisions onto local governments and schools. Long-Term Planning and Land Conservation: Legislative actions should support continued regional and local planning for eventual decommissioning, workforce transition, and future land use. The City also supports the conservation of coastal lands surrounding Diablo Canyon and the expansion of appropriate public access, in coordination with regulatory agencies, Tribal communities, and conservation partners, while ensuring that land conservation efforts benefit local jurisdictions. The City of San Luis Obispo stands with its neighboring cities, school districts, and regional partners in urging the Legislature to adopt a balanced approach that protects public safety, supports education and essential services, and provides fiscal certainty for communities hosting critical infrastructure on behalf of the State. We appreciate the Legislature’s continued engagement and look forward to working collaboratively to advance solutions that are equitable, transparent, and responsive to local impacts. Thank you for your consideration. Sincerely, Erica A. Stewart Mayor, City of San Luis Obispo Cc: City of San Luis Obispo City Council County of San Luis Obispo Board of Supervisors Cal Cities Sent via Email Attachments: Correspondence from Senator Laird and Assemblymember Addis February 3, 2026 San Luis Obispo City Council Via emailcouncil@slocity.org Subject: Diablo Canyon Power Plant Letter - Item No. 5.h, February 3, 2026 SLO City Council Agenda Dear Mayor Stewart and Councilmembers: As the Assemblymember representing California’s 30th Assembly District, a former Morro Bay City Councilmember, and the only State Legislator living within one of the twelve evacuation / shelter-in-place zones surrounding the Pacific Gas and Electric (PG&E) owned Diablo Canyon Power Plant (DCPP), I write to you with extensive, first-hand experience of the safety, policy, and fiscal realities of DCPP’s operation. As a fellow San Luis Obispo (SLO) County resident and former local government representative, I understand how decisions about DCPP have real consequences to local public entities’ ability to provide essential services and public education including to residents served by the seven SLO County cities, the San Luis Coastal Unified School District, the numerous community service districts, and the County itself. This is why I have been steadfast in advocating for fair and just mitigation for the 2025–2030 DCPP extension. I believe such mitigation is urgent and should remain independent of any negotiations regarding potential DCPP operations beyond 2030. I am glad to read that your position is aligned, and I urge you to continue advocating for fair and just mitigation. SLO County residents uniquely shoulder the ongoing burden of preparing for a potential radioactive disaster. These are risks that no other California community faces. This concern is not about the dedication or professionalism of DCPP workers, but about the disproportionate burden placed on the surrounding community. In 2018, the California Public Utilities Commission approved PG&E’s plan to retire DCPP. That decision was accompanied by SB 1090 (Monning, Chapter 561, Statutes of 2018), which established a thoughtful framework for plant retirement and provided essential transition resources to support local jurisdictions. SB 1090 recognized the value of mitigation for the health and welfare of our local communities. Asm Addis, 2/3/26, Diablo Canyon Power Plant Letter - Item No. 5.h 2 In 2022, SB 846 (Dodd, Chapter 239, Statutes of 2022) extended DCPP’s operation through 2030. While I was not serving in the Legislature at that time, I understand that SB 846 dictated a variety of provisions, including a $1.4 billion taxpayer funded, forgivable state loan to PG&E, as well as the delay of DCPP’s planned retirement to 2030. Many now recognize that the provisions of SB 846 significantly benefited the for-profit, investor-owned utility while failing to provide fair and just mitigation to SLO County communities hosting DCPP during its five-year extension period. Such mitigation should have been secured through structured payments, reinstatement of the unitary tax, or other mechanisms. Now, it has been conveyed both publicly and privately that the absence of a local mitigation provision was recognized during the SB 846 negotiations, yet that mitigation was left out of SB 846. I have been clear, publicly and directly with PG&E, that this omission unfairly burdens local public agencies and constrains your ability to provide essential services and public education. To address the lack of 2025-2030 mitigation, I have been actively working to advance multiple solutions. This includes my 2025 Transitional Kindergarten Access Act (AB 1391) that would have provided needed funding to our local, public school district, as well as a $10 million budget proposal that would have helped numerous local entities, including the City of San Luis Obispo. In 2026, I am focused on delivering concrete solutions through regular collaboration with our shared constituents and diverse stakeholders. As public servants, we can all agree that our residents rely on local public entities to provide safe streets, infrastructure, mental health and homelessness services, and high-quality public education. Without proper oversight and accountability, the capacity to deliver these core services is diminished. Additionally, such mitigation should not be viewed as precedent or justification for decisions regarding DCPP operations beyond 2030. Now is the time for PG&E to fulfill its promise of partnership with our SLO County communities. As I continue working toward a fair and just mitigation solution for the 2025–2030 extension, I welcome your input. Sincerely, Dawn Addis Assemblymember, 30th Assembly District cc: San Luis Obispo County Board of Supervisors Arroyo Grande City Council Atascadero City Council Asm Addis, 2/3/26, Diablo Canyon Power Plant Letter - Item No. 5.h 3 Grover Beach City Council Morro Bay City Council Paso Robles City Council Pismo Beach City Council