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HomeMy WebLinkAbout04-07-2026 Agenda Packet City Council AGENDA Tuesday, April 7, 2026, 5:30 p.m. Council Chambers, 990 Palm Street, San Luis Obispo Council meetings may be viewed remotely on Channel 20, the City’s YouTube Channel, and on the City’s website under the Public Meeting Agendas web page. Attendees of City Council or Advisory Body meetings are eligible to receive one hour of complimentary parking; restrictions apply, visit Parking for Public Meetings for more details. INSTRUCTIONS FOR PUBLIC COMMENT: Public Comment prior to the meeting (must be received 3 hours in advance of the meeting): Mail - Delivered by the U.S. Postal Service. Address letters to the City Clerk's Office at 990 Palm Street, San Luis Obispo, California, 93401. Email - Submit Public Comments via email to emailcouncil@slocity.org. In the body of your email, please include the date of the meeting and the item number (if applicable). Emails will not be read aloud during the meeting. Voicemail - Call (805) 781-7164 and leave a voicemail. Please state and spell your name, the agenda item number you are calling about, and leave your comment. Verbal comments must be limited to 3 minutes. Voicemails will not be played during the meeting. *All correspondence will be archived and distributed to councilmembers, however, submissions received after the deadline may not be processed until the following day. Public Comment during the meeting: Meetings are held in-person. To provide public comment during the meeting, you must be present at the meeting location. Electronic Visual Aid Presentation. To conform with the City's Network Access and Use Policy, Chapter 1.3.8 of the Council Policies & Procedures Manual, members of the public who desire to utilize electronic visual aids to supplement their oral presentation must provide display-ready material to the City Clerk by 12:00 p.m. on the day of the meeting. Contact the City Clerk's Office at cityclerk@slocity.org or (805) 781-7114. Pages 1.CLOSED SESSION (4:00 PM START) 1.a CALL TO ORDER Mayor Erica A. Stewart will call the Closed Session of the San Luis Obispo City Council to order at 4:00 PM in the Council Hearing Room at City Hall, 990 Palm Street, San Luis Obispo. 1.b CONFERENCE WITH REAL PROPERTY NEGOTIATORS Pursuant to Government Code § 54956.8 Property: Assessor Parcel Number 002-412-010 Agency Negotiators: Robert Hill, Natalie Harnett, Greg Hermann, Christine Dietrick, Whitney McDonald Negotiating Parties: Mello Lucille Trust Under Negotiation: Price and terms of payment. 1.c CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION Authorization for defense of litigation pursuant to paragraph (1) of subdivision (d) of California Government Code Section 54956.9. Name of case: John Ruda, Shahriar Zarnegar, Jordan Knauer, and 3160 Johnson, LLC v. City of San Luis Obispo, United States Central District Court Civil Action No. 2:26-cv-02283-SSC 1.d ADJOURNMENT The Council will hold a Regular Meeting of the San Luis Obispo City Council in the Council Chambers at City Hall, 990 Palm Street, San Luis Obispo. 2.CALL TO ORDER Mayor Erica A. Stewart will call the Regular Meeting of the San Luis Obispo City Council to order. 3.PLEDGE OF ALLEGIANCE Council Member Michelle Shoresman will lead the Council in the Pledge of Allegiance. 4.PRESENTATIONS 4.a MONTH OF THE CHILD Mayor Stewart will present a proclamation declaring April 2026 as Month of the Child. 4.b NATIONAL ARAB AMERICAN HERITAGE MONTH Mayor Stewart will present a proclamation declaring April 2026 as National Arab American Heritage Month. 4.c EARTH MONTH Mayor Stewart will present a proclamation declaring April as Earth Month and Honoring SLO Earthfest 2026. 4.d SEXUAL ASSAULT AWARENESS MONTH Mayor Stewart will present a proclamation declaring April 2026 as Sexual Assault Awareness Month. 4.e CITY MANAGER REPORT Receive a brief report from City Manager Whitney McDonald. 5.PUBLIC COMMENT PERIOD FOR ITEMS NOT ON THE AGENDA Not to exceed 15 minutes. The Council welcomes your input. State law does not allow the Council to discuss or take action on issues not on the agenda, except that members of the Council or staff may briefly respond to statements made or questions posed by persons exercising their public testimony rights (Gov. Code sec. 54954.2). Staff may be asked to follow up on such items. 6.CONSENT AGENDA Matters appearing on the Consent Calendar are expected to be non- controversial and will be acted upon at one time. A member of the public may request the Council to pull an item for discussion. Pulled items shall be heard at the close of the Consent Agenda unless a majority of the Council chooses another time. The public may comment on any and all items on the Consent Agenda within the three-minute time limit. Recommendation: To approve Consent Calendar Items 6a to 6d. 6.a WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES Recommendation: Waive reading of all resolutions and ordinances as appropriate. 6.b MINUTES REVIEW - MARCH 17, 2026 COUNCIL MINUTES 9 Recommendation: Approve the minutes of the City Council meeting held on March 17, 2026. 6.c 2026 LEGISLATIVE ACTION PLATFORM 15 Recommendation: As recommended by Vice Mayor Francis and Council Member Boswell, adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, establishing a City Legislative Action Platform for 2026 and appointing a Council Member and Staff Persons to act as a liaison between the City of San Luis Obispo and the League of California Cities”; and 1. Appoint the Mayor, City Manager, and the City Attorney to act as the primary legislative liaisons between the League of California Cities and the City of San Luis Obispo. 2. 6.d AUTHORIZATION TO AWARD 879 MORRO ROOF REPLACEMENT, SPECIFICATION NO. 2000075-10 73 Recommendation: Approve the project plans and special provisions for the 879 Morro Roof Replacement, Specification No. 2000075-10; and 1. Award a construction contract (Attachment A) to Ranger Roofing and Solar in the amount of $189,074.96 for the 879 Morro Roof Replacement, Specification No. 2000075-10; and, 2. Authorize staff to issue a Purchase Order to Brezden Pest Control Inc., following completion of the roofing project, at an amount within the remaining available project budget; and, 3. Authorize a transfer of $24,948.21 from Sewer Fund Completed Projects to support the roofing project and pest control work; and, 4. Authorize the City Engineer to approve Contract Change Orders, provided they remain within the approved project budget or any amended budget subsequently authorized by the City Manager. 5. 7.PUBLIC HEARING AND BUSINESS ITEMS 7.a 2025 GENERAL PLAN ANNUAL REPORT (30 MINUTES)95 Recommendation: As recommended by the Planning Commission, receive and file the 2025 General Plan Annual Report. 8.STUDY SESSION 8.a COMMUNITY CLIMATE ACTION PLAN PROGRESS REPORT AND 2027 PLAN UPDATE STUDY SESSION (60 MINUTES) 185 Recommendation: Receive and file the 2026 Climate Action Plan Progress Report.1. Provide strategic direction on the 2027 Climate Action Plan update. 2. Direct staff to join the Local Government Climate Alliance to advocate for pre-approved positions via the City’s adopted Legislative Action Platform to advance Council goals related to the Climate Action Plan, and delegate City participation in the organization to the City Manager or their designee. 3. 9.LIAISON REPORTS AND COMMUNICATIONS Not to exceed 15 minutes. Council Members report on subcommittee assignments, listed below, and other City activities. At this time, any Council Member or the City Manager may ask a question for clarification, make an announcement, or report briefly on their activities. In addition, subject to Council Policies and Procedures, they may provide a reference to staff or other resources for factual information, request staff to report back to the Council at a subsequent meeting concerning any matter or take action to direct staff to place a matter of business on a future agenda. (Gov. Code Sec. 54954.2) Mayor Stewart Vice Mayor Francis Council Member Boswell Council Member Marx Council Member Shoresman SLO Council of Governments Airport Land Use Community Action Partnership Air Pollution Control District CP Campus Planning Committee Regional Economic Action Coalition Nacimiento Water Project SLO Climate Coalition County Water Resources Advisory Committee Downtown Association Board CA Men’s Colony Advisory Committee Zone 9 Advisory Committee Local Agency Formation Commission Homeless Services Oversight Committee Performing Arts Center Commission Integrated Waste Management Authority SLO Regional Transit Authority Visit SLO County Advisory Committee Central Coast Clean Energy 10.ADJOURNMENT The next Regular Meeting of the City Council will be held on April 21, 2026 at 5:30 p.m. in the Council Chambers at City Hall, 990 Palm Street, San Luis Obispo. LISTENING ASSISTIVE DEVICES for the hearing impaired - see the Clerk. The City of San Luis Obispo wishes to make all of its public meetings accessible to the public. Upon request, this agenda will be made available in appropriate alternative formats to persons with disabilities. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such request to the City Clerk’s Office at (805) 781-7114 at least 48 hours before the meeting, if possible. Telecommunications Device for the Deaf (805) 781-7410. City Council meetings are televised live on Charter Channel 20 and the City's YouTube Channel: www.youtube.com/CityofSanLuisObispo. Agenda related writings or documents provided to the City Council are available for public inspection in the City Clerk’s Office located at 990 Palm Street, San Luis Obispo, California during normal business hours, and on the City’s website https://www.slocity.org/government/mayor-and-city-council/agendas-and- minutes. Persons with questions concerning any agenda item may call the City Clerk’s Office at (805) 781-7114. 1 Council Minutes March 17, 2026, 5:30 p.m. Council Chambers, 990 Palm Street, San Luis Obispo Council Members Present: Council Member Mike Boswell, Council Member Jan Marx, Council Member Michelle Shoresman, Vice Mayor Emily Francis, Mayor Erica A. Stewart City Staff Present: City Manager Whitney McDonald, Christine Dietrick, City Attorney, Teresa Purrington, City Clerk _____________________________________________________________________ 1. CLOSED SESSION (4:30 PM START) 1.a CALL TO ORDER 1.b CONFERENCE WITH LEGAL COUNSEL—EXISTING LITIGATION Action: City Attorney Christine Dietrick indicated that the Council met in closed session and there was no reportable action taken. 1.c ADJOURNMENT 2. CALL TO ORDER A Regular Meeting of the San Luis Obispo City Council was called to order on March 17, 2026 at 5:41 p.m. in the Council Chambers, 990 Palm Street, San Luis Obispo, by Mayor Stewart. 3. PLEDGE OF ALLEGIANCE Mayor Stewart led the Council in the Pledge of Allegiance. 4. PRESENTATIONS 4.a CITY MANAGER REPORT City Manager Whitney McDonald provided a report on upcoming projects. 5. PUBLIC COMMENT PERIOD FOR ITEMS NOT ON THE AGENDA Public Comment: Shawn Harris Garrett Philbin Page 9 of 251 2 --End of Public Comment-- 6. CONSENT AGENDA Public Comment: None --End of Public Comment-- Motion By Council Member Marx Second By Council Member Shoresman To approve Consent Calendar Items 6a to 6e. Ayes (5): Council Member Boswell, Council Member Marx, Council Member Shoresman, Vice Mayor Francis, and Mayor Stewart CARRIED (5 to 0) 6.a WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES Waive reading of all resolutions and ordinances as appropriate. 6.b MINUTES REVIEW - FEBRUARY 24, 2026 SPECIAL COUNCIL MEETING AND MARCH 3, 2026 COUNCIL MINUTES Approve the minutes of the City Council meeting held on February 24, 2026 and March 3, 2026. 6.c CONSIDERATION AND APPROVAL OF THE 2025-26 HUMAN SERVICES GRANT REALLOCATION RECOMMENDATION 1. As recommended by the Human Relations Commission, approve the reallocation of $15,000 in grants funds from the 2025-26 Human Services Grant program to specified recipients; and 2. Authorize the City Manager to execute agreements with each grant recipient. 6.d CONSIDERATION OF THE 2025-26 DEI HIGH IMPACT GRANT FUNDING RECOMMENDATIONS 1. As recommended by the Human Relations Commission, approve the revised 2025-26 Diversity Equity and Inclusion (DEI) High Impact Grant funding allocations in the amount of $150,000; and 2. Authorize the City Manager to execute agreements with each grant recipient. Page 10 of 251 3 6.e AUTHORIZATION TO EXTEND SUBLEASE AGREEMENT FOR SOUTH HILLS RADIO SITE Approve and authorize the City Manager to execute an amendment to sublease agreement for South Hills Radio Site, between the City of San Luis Obispo and Higuera Hill, LLC (Katherine L Foster, Trustee of the Katherine L Foster Family Trust dated October 21, 2024, and Heather A Spangler, Trustee of the Michael R Spangler revocable trust dated May 27, 2016). 7. PUBLIC HEARING AND BUSINESS ITEMS 7.a LOCAL ROADS FIRST PROPOSED BALLOT MEASURE – CONSIDER RESOLUTION OF SUPPORT Public Works Deputy Director of Mobility Services Jennifer Rice and Annie Bowsky, SLCOG provided an in-depth staff report and responded to Council questions. Public Comments: Rachel Whalen Brad Brechwald ---End of Public Comment--- Motion By Mayor Stewart Second By Council Member Boswell To adopt Resolution No. 11636 (2026 Series) entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, supporting the San Luis Obispo County Transportation Expenditure Plan and in support of the proposed countywide 0.5% transportation sales tax measure being placed on the November 3, 2026 ballot.” 7.b UPDATES ON CAPSLO HOMELESS SERVICES DIVISION 2025-2028 STRATEGIC ALIGNMENT PLAN AND CAPSLO GOOD NEIGHBOR POLICY UPDATE FOR HOMELESS SERVICES Homelessness Response Manager Daisy Wiberg and Lawren Ramos Community Services Program Director provided an in-depth staff report and responded to Council questions. Public Comments: None ---End of Public Comment--- Page 11 of 251 4 Action: No formal action taken on this item. Council directed staff to receive and file CAPSLO's 2025-28 Strategic Alignment Plan and 2025 Good Neighbor Policy Update for Homeless Services. 7.c SLO COUNTY REGIONAL HOMELESSNESS AND AFFORDABLE HOUSING COMPACT AND REGIONAL HOMELESS SERVICES INVENTORY Homeless Services Manager Daisy Wiberg and Linda Belch, Deputy Director of Adult and Homeless Services Division for County of San Luis Obispo provided an in-depth staff report and responded to Council questions. Public Comments: Geraldine Clemons ---End of Public Comment--- Motion By Council Member Shoresman Second By Vice Mayor Francis 1. Adopt Resolution No. 11637 (2026 Series) entitled, “Approving the San Luis Obispo County Regional Homelessness and Affordable Housing Compact,” and 2. Receive and comment on a report and presentation from the County of San Luis Obispo’s Homeless Services Division on the Regional Compact and a Regional Homeless Services Inventory. Ayes (5): Council Member Boswell, Council Member Marx, Council Member Shoresman, Vice Mayor Francis, and Mayor Stewart CARRIED (5 to 0) 8. LIAISON REPORTS AND COMMUNICATIONS Mayor Stewart  Attended Regional Economic Action Coalition (REACH) Summit March 10  SLO Regional Transit Authority (SLORTA) - March 4  Interview with the Solestiss Consulting firm regarding Diablo  Participated in the painting event at CL Smith  Threw out the first pitch for the SLO Girls Softball League  Attended the Cultural Arts District Parking Structure Ribbon Cutting Page 12 of 251 5  Met with Victor Reyes-Morales, Regional Deputy Director from the Governor's Office Vice Mayor Francis  Attended News and Brews  Attended the Cultural Arts District Parking Structure Ribbon Cutting Council Member Boswell  Attended the Cultural Arts District Parking Structure Ribbon Cutting  Met with SLO Climate Coalition  Attended the Civic Well Policy Makers Conference Council Member Marx  Indicated that the Air Pollution Control District is looking for a public member for its Hearing Board  Addressed the Community Academy on March 9th  Attended the Prado Interchange Community Meeting at San Luis Ranch on March 11th Council Member Shoresman  Attended SCLC meeting  Interview with the Solestiss Consulting firm regarding Diablo  Attended the Cultural Arts District Parking Structure Ribbon Cutting  Homeless Services Oversight Committee Meeting tomorrow 1:00 PM to 3:00 is a public listening session 9. ADJOURNMENT The meeting was adjourned at 8:44 PM p.m. The next Regular City Council Meeting is scheduled for April 7, 2025 at 5:30 p.m. in the Coun cil Chambers at City Hall, 990 Palm Street, San Luis Obispo. APPROVED BY COUNCIL: XX/XX/202X Page 13 of 251 Page 14 of 251 Item 6c Department: Administration Cost Center: 1001 For Agenda of: 4/7/2026 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Natalie Harnett, Policy and Project Manager SUBJECT: 2026 LEGISLATIVE ACTION PLATFORM RECOMMENDATION 1. As recommended by Vice Mayor Francis and Council Member Boswell, adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, establishing a City Legislative Action Platform for 2026 and appointing a Council Member and Staff Persons to act as a liaison between the City of San Luis Obispo and the League of California Cities”; and 2. Appoint the Mayor, City Manager, and the City Attorney to act as the primary legislative liaisons between the League of California C ities and the City of San Luis Obispo. POLICY CONTEXT The legislative platform is a tool to promote the efficient use of staff and the Council time while also ensuring the City is actively engaged on relevant legislative issues. City Council approval is required for any modifications to the platform and is up dated through an annual review process. The City will be providing a copy of the City’s Legislative Platform to Federal and State legislators and will also be sharing a copy with the County Board of Supervisors. DISCUSSION Attached for Council’s consideration is a Resolution (Attachment A) establishing the City’s 2026 Legislative Action Platform. Similar resolutions have been adopted by the Council since 1993. The City Administration and IT Department coordinates the Legislative Action Program with assistance from the Attorney’s Office and other City departments, as appropriate. The proposed Resolution authorizes staff to respond to legislative issues affecting the City (via letters signed by the Mayor, City Manager and occas ionally, Department Heads), provided that the positions taken in the letters are consistent with the priorities identified in Exhibit A to the Resolution (Attachment B) and League of California Cities (Cal Cities) advocacy efforts. Page 15 of 251 Item 6c By establishing a broad legislative platform and delegating responsibility to the Mayor and staff to respond to proposed legislation and recommendations from Cal Cities, the City is better able to react quickly to changing circumstances and urgent requests than it would be if each item were brought to the Council at its regular meetings. The process is considered a best practice, has been efficient given the limited City resources available, and the City continues to be very active in communicating its positions on Federal and State legislation. During the January 20, 2026 City Council meeting, the Council appointed Vice Mayor Francis and Council Member Boswell to an Ad Hoc Committee to review the 2026 Legislative Platform. Staff reviewed the Legislative Platform and suggested edits to the Ad Hoc Committee based on their subject matter expertise. After reviewing the platform, the Ad Hoc Committee met on February 20, 2026, and recommended several updates to the Legislative Platform, including both their own edits and those recommended by staff . All changes, including language clean-ups, are shown in the redlined draft of the 2026 Platform included as Attachment C, with new language underlined and removed sections shown with a strikethrough. Previous Council or Advisory Body Action The City Council discussed this item at the January 20, 2026 meeting and appointed the Ad Hoc Committee. The most recent Legislative Action Platf orm was approved on April 15, 2025. Legislative Liaison Appointments The League of California Cities encourages cities to appoint a Council Member and a staff person to act as legislative liaisons between the League and the City. As has been past practice, staff recommends that Mayor Erica A. Stewart act as the Council Legislative Liaison and the City Manager and the City Attorney serve as the Staff Liaisons. PUBLIC ENGAGEMENT Public comment on the item can be provided to the City Council through writte n correspondence prior to the meeting and through public testimony at the meeting. CONCURRENCE In preparing this year’s draft platform, input was solicited from all City departments and several additions and clarifications were recommended. ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. Page 16 of 251 Item 6c FISCAL IMPACT Budgeted: Yes Budget Year: 2025-26 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $ $ $ $ State Federal Fees Other: Total N/A N/A N/A N/A Because no additional staff work is anticipated as a result of this ongoing program, no new fiscal impact will be incurred that was not already included in the current budget appropriation. ALTERNATIVES The Council may wish to modify the proposed 2026 Legislative Platform or include other issues not included in the current draft. The Legislative Platform allows the City to take action on any bills and other measures formally supported by the League of California Cities. Any additions or modifications to the Platform should generally be crafted to be flexible to allow for quick responses to legislation important to cities. ATTACHMENTS A - Draft Resolution adopting the 2026 Legislative Platform B - Exhibit A to the Draft Resolution – 2026 Legislative Action Platform (Final Version) C - 2026 Legislative Action Platform (Marked Version) Page 17 of 251 Page 18 of 251 R ______ RESOLUTION NO. _____ (2026 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ESTABLISHING THE CITY LEGISLATIVE ACTION PLATFORM FOR 2026 AND APPOINTING A COUNCIL MEMBER AND STAFF PERSONS TO ACT AS LIAISON BETWEEN THE CITY OF SAN LUIS OBISPO AND THE LEAGUE OF CALIFORNIA CITIES WHEREAS, a major objective of the City Council is to adopt an aggressive legislative action platform which strengthens local government, promotes City goals and defends the City against legislative actions by State and Federal governments that would weaken local government and/or take away traditional revenue sources; and WHEREAS, it is vital to the fiscal health and the self determination of the City to effectively communicate with State Legislators and Federal representatives in order to favorably influence State and Federal legislation, regulations and grant requests; and WHEREAS, the League of California Cities conducts a legislative analysis and advocacy program on behalf of cities for State issues and major Federal issues; and WHEREAS, the City desires to be proactive and involved in the governmental decision-making processes directly affecting the City legislative priorities identified in Exhibit A, and other selected issues as may from time to time be recommended by the League of California Cities; and WHEREAS, the City Council considered an update to the Legislative Action Platform on January 20, 2026, and formed an Ad-Hoc Subcommittee consisting of Vice Mayor Francis and Councilmember Boswell to provide further review and changes in response to Council and public input; and WHEREAS, on February 20, 2026, the Ad-Hoc Subcommittee reviewed staff recommended changes and provided additional recommendations in consideration of the Council and public input; and WHEREAS, a key component of the City’s Legislative Action Platform is face -to face meetings between City representatives and elected officials at the Federal, State, and County levels, and coordination with similar efforts made by other local government entities. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: Page 19 of 251 Resolution No. _____ (2026 Series) Page 2 R ______ SECTION 1. Establish the Legislative Action Platform for 202 6 as set forth in the attached Exhibit “A” and authorize the Mayor, City Manager, and the City Attorney to take positions on legislation generally consistent with the Legislative Action Platform and such other resolutions and recommendations of the League of California Cities as may be from time to time presented to the City. Upon motion of _______________, seconded by _____________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2026. ___________________________ Mayor Erica A. Stewart ATTEST: ________________________ Teresa Purrington, City Clerk APPROVED AS TO FORM: ________________________ J. Christine Dietrick, City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________ Teresa Purrington, City Clerk Page 20 of 251 Exhibit A - 2026 Legislative Action Platform 2026 CITY OF SAN LUIS OBISPO LEGISLATIVE ACTION PLATFORM ADOPTED BY CITY COUNCIL RESOLUTION NO. XXXXX (2026 SERIES) Page 21 of 251 LEGISLATIVE ACTION PLATFORM Page 2 About this Legislative Platform This Legislative Platform, adopted by the City of San Luis Obispo Council, will establish the City’s position on legislative matters of priority and importance to the City. The Legislative Platform is reviewed regularly and updated on an annual basis. The Legislative Platform shall be published and disseminated widely to promote transparency and awareness among the public. The City shares its Legislative Platform with Federal and State legislators, as well as the County Board of Supervisors. This public document serves as a guiding framework for the City's legislative advocacy efforts throughout the year. Advocacy The Legislative Platform reflects those legislative matters on which the council majority authorizes the Mayor, City Manager and City Attorney to engage in legislative advocacy on behalf of the City without the need for further council review or authority. The council’s authorization extends only to advocacy for or against generally applicable legislative proposals (including those pertaining to budget, regulations, policies, and programs) being considered by local, regional, state and/or federal policy makers or regulators consistent with Major City Goals and adopted City policy platforms. It does not otherwise extend to advocacy for or against any individual project, program, or entitlement application pending before any decision-making body, unless specifically noted herein. The League of California Cities (Cal Cities) The City actively participates in the Cal Cities, a statewide association representing most of California’s 483 cities. Cal Cities advocates for local control through legislative efforts, ballot measures, legal action, and strategic outreach to educate policymakers, opinion leaders, and the public. It also conducts legislative analysis and advocacy on behalf of cities for key State and Federal issues. Through the Council’s adopted Legislative Platform resolution, the City takes positions consistent with Cal Cities’ recommendations. The 2026 Cal Cities advocacy priorities include: 1. Protect and enhance local revenues and expand economic development tools. 2. Strengthen partnerships with the state to improve public safety. 3. Secure investments to prevent and reduce homelessness and increase the supply of affordable housing. 4. Strengthen climate change resiliency and disaster preparedness. Page 22 of 251 LEGISLATIVE ACTION PLATFORM Page 3 Consistency with City Goals and Policies The City of San Luis Obispo’s Legislative Action Platform is designed to align with the City’s and broader strategic priorities. The platform provides a framework for legislative advocacy; however, all positions that the City takes should be consistent with adopted City policies, strategic plans, and/or overarching Major City Goals where feasible. This ensures a cohesive and strategic approach to legislative engagement that reflects the City’s priorities and values. For emerging issues or situations not outlined in the Legislative Platform or recommended through Cal Cities, City staff will work with the City Council for further direction. Figure 1 - 2025-27 Council Adopted Major City Goals Page 23 of 251 LEGISLATIVE ACTION PLATFORM Page 4 Contents Climate Action ............................................................................................................................................... 5 Energy ........................................................................................................................................................... 6 Diversity, Equity, and Inclusion for All .......................................................................................................... 8 Homelessness Resources .............................................................................................................................. 9 Community Development ........................................................................................................................... 12 Tenant Protections ...................................................................................................................................... 13 Economic Development .............................................................................................................................. 13 Finance & Governance ................................................................................................................................ 14 Human Resources/Employee Relations ...................................................................................................... 15 Public Safety ................................................................................................................................................ 16 Public Works ............................................................................................................................................... 19 Parks and Recreation and Natural Resources ............................................................................................. 20 Transportation ............................................................................................................................................ 21 Utilities ........................................................................................................................................................ 23 Page 24 of 251 LEGISLATIVE ACTION PLATFORM Page 5 Climate Action Support: 1. Funding for communities to pay for public infrastructure that meets state greenhouse gas emission reduction goals and adopted City objectives. 2. Funding to implement programs and related action items contained in local and regional Climate Action Plans to quantitatively reduce greenhouse gas emissions and advocate for regulatory reform, including but not limited to clean technologies, micro-grids, all electric/zero-emission buildings, electrified transportation, behind the meter technology, and natural solutions (e.g., tree planting, open space conservation, and contemporary land management and restoration practices). 3. Regulatory reform to facilitate the transition to clean technologies, microgrids, low and zero carbon energy generation, and decarbonized buildings. 4. Legislation and regulation that is aligned with the City’s goals of carbon neutrality by 2035 and sub- goals related to municipal operations, clean electricity, building decarbonization, clean mobility, organic waste diversion, and natural solutions. 5. Legislation and regulation that is aligned with the policies and programs set forth by the Climate Adaptation and Safety Element including using future projections for climate hazards in planning decisions, investing in community resilience, and adapting built infrastructure and natural ecosystems to climate change hazards and disturbances. 6. Funding and resources to focus climate investments on programs and projects that support environmental justice, economic and racial equity, and head of household jobs. 7. Legislation, policies, and regulation that extend producer responsibility for packaging and single-use product manufacturing as to encourage source reduction and the manufacturing of reusable and sustainable products. 8. Legislation, policies, and regulation that that make waste diversion and reduction more equitable for our residents and businesses. 9. Legislation that makes recycling organic waste and edible food recovery and distribution more efficient and easily accessible to residents and businesses in need. Oppose: 10. Legislation and regulation that limits the City’s ability to achieve its goals of carbon neutrality by 2035 and sub-goals related to municipal operations, clean electricity, building decarbonization, clean mobility, organic waste diversion, and natural solutions. Page 25 of 251 LEGISLATIVE ACTION PLATFORM Page 6 Energy Support: 1. Reform of the California Public Utilities Commission (CPUC) structure and policies, state regulation, and state legislation to accelerate equitable building and transportation decarbonization. 2. CPUC reform that ties investor-owned utility compensation to performance consistent with state policy objectives. 3. California Community Choice Associations’ (Cal CCA) Regulatory and Legislative Platform, where consistent with the City’s legislative platform. 4. Reform of CPUC policies and state legislation to ensure investor-owned utilities are able and required to provide timely, accurate, and sufficiently detailed energy data. 5. Reform of CPUC policies and state legislation that supports increased, equitable, and affordable access to distributed energy resources, including rooftop solar. 6. Support legislation and regulatory actions that improve electricity affordability while maintaining consistency with the City’s other platform positions, including preserving access to rooftop solar and protecting ratepayer-funded decarbonization and energy efficiency programs. 7. Reform of CPUC policies, state regulation, and state legislation that support low income zero emission buildings, including support for mobile home parks, low-income households, and other disadvantaged community members. 8. The Central Coast Regional Energy Network at the County Board of Supervisors, the CPUC, and related relevant entities and supporting pilot projects in the City as feasible. 9. Regional and regulatory collaboration to fund and support climate change impact projections and coordinate approaches for increasing regional resilience. 10. Sustainable and resilient energy programs. 11. Legislation in alignment with Central Coast Community Energy Policy Board and Operations Board Positions.1 1 The City Council approved the City joining Central Coast Community Energy (3CE) in September 2018 and City representatives have been seated on 3CE’s Policy Board, Operations Board, and Community Advisory Council since 2019. This section of the City’s Legislative Platform identifies City of San Luis Obispo policy positions on key topics that may come before the various boards and advisory bodies of 3CE. The policy positions contained herein are Page 26 of 251 LEGISLATIVE ACTION PLATFORM Page 7 a. 3CE investment in and support for distributed energy resources (e.g., rooftop solar), virtual power plants, demand response, behind the meter technology and energy efficiency. b. 3CE in evaluating and deploying programs that are climate action force multipliers (e.g., tariffed on-bill financing, virtual power plants, etc.). c. Processes that are transparent, collaborative, visible, accessible, and inclusive. d. Rate, rebate, and revenue structures that create a robust programs budget. e. Regional climate action and a portfolio of programs that are strategically implemented to achieve regional climate targets. f. Local government access to data, transparent GHG emissions reporting, and sub-annual emissions factors as available. g. Processes and governance approaches that provide sufficient time for Board members to fully participate and drive decisions, from inception to implementation. 12. Legislation and regulatory efforts that promote the safe deployment, operation, and decommissioning of battery energy storage systems (BESS). 13. Actions and legislation related to Diablo Canyon Power Plant that are consistent with the City’s 2016 adopted guiding principles, including: a. Ensuring public safety and environmental protection during continued operations or decommissioning. b. Securing fiscal mitigation measures to offset local economic and infrastructure impacts. c. Investigating opportunities for job creation, economic diversification, and the reuse of facilities or lands in ways that provide long‑term community benefit. d. Advancing open-space and community benefit outcomes for lands associated with the plant. e. Promoting transparent stakeholder engagement and collaboration with local jurisdictions. Oppose: 14. Legislative and CPUC decisions that negatively impact CCAs or otherwise shift the financial obligations of investor-owned utilities to CCAs. intended to guide Board member deliberation, and voting and staff review of agenda, but are not an exhaustive list of issues that may arise. These positions are intended to extend only to advocacy for or against generally applicable policy proposals being considered by 3CE and does not extend to advocacy on any individual project or entitlement application pending before any decision-making body, nor does it extend to the larger legislative platform of the City. Page 27 of 251 LEGISLATIVE ACTION PLATFORM Page 8 Diversity, Equity, and Inclusion for All Support: 1. Legislation that creates, expands, and/or provides broad authority to jurisdictions to develop and implement diversity, equity, and inclusion programs, policies, or initiatives to address systemic inequities that disproportionately impact Black, Indigenous, People of Color (BIPOC), LGBTQIA+, and other marginalized, underserved, and underrepresented communities. 2. Legislation that centers reforms for advancing access for undocumented individuals’ health, well- being, and success. 3. Education and employment opportunities and development of upward economic mobility and access to programs such as childcare, after-school activities, school’s family support networks and supportive services for individuals aging out of the foster care system. 4. Increased availability of grant funding for ADA accessibility improvements and connectivity to streets, parks, and other public infrastructure. 5. Amendments to the California Elections Code to expand safe harbor provisions in response to district elections demands under the California Voting Rights Act to include remedies, in addition to district elections, to enhance quantifiable equity gains in participation and representation in local elections, including, but not limited to cumulative voting, limited voting, ranked choice voting and other voting structures that can be demonstrated to advance voter engagement and equity. 6. Legislation that furthers jurisdictions’ abilities to create policies that protect voting rights and work to disrupt voter suppression tactics that disproportionately impact Black, Indigenous, and other communities of color. 7. Legislation that provides funding sources for appropriate human service agencies that support the mission of the Human Relations Commission. 8. Legislation and funding to increase affordable and equitable childcare services, and activities, and options for working low-income families. 9. Legislation related to implementation of the Racial Equity Framework 2 and resources and tools to promote racial equity and address structural racism. 2 Executive Order N-16-22 establishes the State's authority to develop plans and strategies to advance equity and identify disparities. Within the Executive Order, there are specifics for the Governor's Office of Planning & Research to create the Racial Equity Commission (REC). One of the duties of the REC is to produce a Racial Equity Framework, which will contain strategies for state, county, and local governments to implement. Page 28 of 251 LEGISLATIVE ACTION PLATFORM Page 9 10. Legislation that creates programs or policies that contribute to family friendly workplace environments that may include, but are not limited to, leave for reproductive loss, paid parental leave, flextime, and job sharing. 11. Legislation that advances access and expands funding for services, programs, and/or projects centered in addressing inequities that disproportionately impact Black, Indigenous, People of Color (BIPOC), LGBTQIA+, and other marginalized, underserved, and underrepresented communities. 12. Legislation that subsidizes or provides funding for translation and interpretation services for local governments to ensure all members of a community can be civically engaged and easily access government programs and services. 13. Legislation that strengthens the California Civil Rights Department and its ability to respond to and address hate and discrimination cases appropriately. 14. Medicare reforms, including updates to geographic designation criteria, that promote equity, expand access to care, enhance regional collaboration, and ensure healthcare sustainability on the Central Coast. 15. Legislation that maintains civil rights protections, improves transparency, and builds community trust in Federal immigration enforcement for our City residents. Oppose: 16. Legislation that limits or preempts local authority to design, implement, or evaluate polices, programs, or initiatives intended to advance access, belonging, or equitable outcomes, particularly where such limitations hinder local government's ability to responds to documented community needs or disparities. Homelessness Resources Support: 1. Legislation and funding for the prevention of homelessness and support of families and individuals vulnerable to becoming homeless. 2. Funding for project-based, permanent affordable housing. 3. Funding for the entire housing spectrum (including affordable units, ADUs, Tiny Homes, Temporary Emergency Shelters and family housing, and supportive housing for all unhoused individuals and families including those with mental health needs, the medically fragile, and aging adults.) 4. Increased flexibility in the use of Federal Funds at the local level to address the full spectrum of services and transitional housing for individuals who are unhoused. Page 29 of 251 LEGISLATIVE ACTION PLATFORM Page 10 5. Nonprofit eviction prevention services for low-income individuals and families. 6. Programs and funding to encourage private market landlords to provide affordable units, participate in housing voucher programs, and upgrade units for energy efficiency. 7. Funding that encourages unique multi-departmental and inter-governmental collaboration to assist individuals experiencing homelessness, such as the City’s Community Action Team (CAT) and Mobile Crisis Unit (MCU), as well as Crisis Intervention Training (CIT) for public safety personnel. 8. Employment services and job training opportunities for individuals who are homeless or at-risk of becoming homeless. 9. Funding for federal, state, county and local coordination with non-profit and faith-based organizations to prevent and address homelessness. 10. Funding for the removal and storage of unhoused individual’s belongings and the cleaning of sites used by unhoused residents, in alignment with the City’s Compassionate Assistance, Mitigation & Prevention (CAMP) Standards and Temporary Storage Guidelines. 11. Funding and programs that promote whole person care approaches that include access to expanded medical, mental, and behavioral health services, including substance use disorder treatment services, and new approaches to financing health care access and patient wellness to reduce avoidable emergency room visits, hospital stays and readmissions. 12. Increased funding and statutory authorization for crisis intervention, involuntary assessment and commitment, guardianship control, and health welfare intervention and supervision of those suffering from chronic homelessness, mental health conditions and addiction, and recognition of mental illness and addiction as contributors to chronic homelessness. 13. Streamlined protocols and metrics to be used by homeless service providers, local agencies, and other non-governmental partners to capture and share accurate statistics of individuals experiencing homelessness, including vacancy and capacity rates, in-flow and out-flow information, cost-reporting of services provided and rendered, and individuals successfully housed. 14. Legislation, programs, funding, court intervention, and statutory authorization for a unified crisis response system to enhance the ability of the County Behavioral Health Director, crisis response personnel, family members and social service providers to share information necessary for effective treatment interventions and to compel assisted outpatient treatment for a person exiting a conservatorship and those lacking capacity to provide for their own healthcare, shelter and food needs. Page 30 of 251 LEGISLATIVE ACTION PLATFORM Page 11 15. Legislation that would allow the courts and crisis intervention personnel to consider a person’s medical, addiction and mental health conditions, history of adverse impacts on community health and safety, and capacity of individuals to provide for their own health, shelter, and food needs in mandating program participation in connection with criminal justice and other contacts, including or expansion of the definition of “gravely disabled” under code section 5150 et seq. in evaluating whether an individual is a danger to themselves or others. 16. Legislation for Mental Health Services Act (MHSA) to allow for flexibility in funds earmarked for “Innovation” programs that are aimed at finding new and different ways to provide services. 17. Legislation, funding, programs, and policies to help expand capacity in local psychiatric health facilities, delivery of case management, drug, alcohol, and detoxification services and facilities, assisted living beds for medically fragile people, and mental health services for all County residents. 18. Advocation that the County lead in the area of expanding humane shelter and housing opportunities for the unhoused population and expand outreach and case management services specifically tailored to the needs of unhoused individuals in the County to transition out of homelessness. 19. The use of data from public safety, City, and regional Community Action Teams (CAT) and Mobile Crisis Units (MCU) outcomes, to advocate that the County allocate new resources to scale up these programs to match the need. 20. An effective and efficient implementation of San Luis Obispo County’s 5-Year Plan to Address Homelessness. 21. State and federal funding of mandates to provide care and services to vulnerable populations. 22. Legislative efforts to repeal Article 34 of the California Constitution, which requires majority approval by the voters of a city or county for the development, construction, or acquisition of a publicly funded affordable housing project. 23. Assistance for those experiencing physical and mental health impacts of a pandemic or other disaster. 24. Regional efforts to create a spectrum of housing types (including board and care and housing types that include other supportive services) within the County to house the unhoused. Oppose: 25. Legislation that seeks to circumvent local control and consideration of local circumstances and safety of the general public when addressing homelessness. Page 31 of 251 LEGISLATIVE ACTION PLATFORM Page 12 Community Development Support: 1. Local control of land use planning and zoning matters. 2. State and Federal assistance to prevent the loss of housing for those impacted by local, state, or federal disasters. 3. Reforms of the State mandated HCD Regional Housing Need Allocations process to recognize local resource limitations, regional collaboration and development, and align infrastructure and other funding to help communities meet mandated housing requirements. 4. Planning and funding of on-campus housing at Cal Poly for students, staff and faculty as included in the Cal Poly Master Plan, including an on campus Greek row. 5. Increased and ongoing funding sources for affordable housing and supportive housing services for very low-, low-, and moderate-income individuals and families in all cities and communities and opposing the erosion of local inclusionary housing and in-lieu fee programs. 6. Continued funding of National Housing Trust Fund and streamlined and efficient implementation regulations at the state level. 7. Additional state funding to implement AB 32 (The California Global Warming Solutions Act of 2006) and SB 375 (The Sustainable Communities and Climate Protection Act of 2008) through local general plan updates that implement the regional sustainable communities plan and alternative planning strategy, if needed. 8. Funding for the identification, acquisition, maintenance and restoration of historic sites and structures. 9. Continued and expanded funding for the Community Development Block Grant (CDBG) program. 10. Policies, programs and funding to support opportunities to convert vacant commercial spaces to affordable housing and childcare facilities. 11. State and federal level down-payment assistance programs and the expansion of below-market rate assistance programs. 12. Continued local control over mobile home park rent stabilization and local control over the conversion of mobile home parks to other uses to ensure that low-income mobile home park residents are not involuntarily removed from homes or otherwise subject to involuntary displacement due to economic Page 32 of 251 LEGISLATIVE ACTION PLATFORM Page 13 impacts of parks subdivision or conversion. 13.The protection, enhancement, and increased production of mobile home park residency opportunities. 14.The ability to issue parking citations on private property. 15.Responsible review and revision of CEQA to ensure sound environmental determinations with a focus on CEQA reform that specifically addresses housing production and rezoning efforts to facilitate housing. 16.Pragmatic and clarifying actions to implement Proposition 64 Cannabis legalization, including increased funding for health education, the preservation of local land use decision making and reconciliation of conflicts in state and federal law, and systems for legal banking. 17.Funding for seismic retrofitting for buildings that haven't been retrofitted. 18.Building code reforms to enable single-stair mid-rise apartment buildings that meet modern fire and life-safety standards. 19.Legislation that provides reasonable definitions, interpretive guidance, and flexible implementation timelines for transit-oriented housing laws (including SB 79 and related follow-up bills). Tenant Protections Support: 1.Increased relocation assistance (AB 1482 2019) when a tenant is evicted due to no-fault of their own. 2.Increases in state and federal approaches to renter protections for rental housing and enforcement of existing renter protections in accordance with the California Civil Codes including but not limited to Cal. Civ. Code §§ 1940-1954.1 (includes Tenant Protection Act). 3.Legislation, policies, and programs that expand tenant affordability and stability. Economic Development Support: 1.State and federal assistance for those people and businesses facing severe economic losses due to pandemic or other disasters. 2.Regional economic activities except for those that promote weapons or fossil fuel production or distribution activities. Page 33 of 251 LEGISLATIVE ACTION PLATFORM Page 14 3. Direct assistance and/or legislation that supports local agencies with recovering costs related to the pandemic or other disasters and stimulate economic development, resiliency, and recovery. 4. Funding and legislation using tax credits or other incentive programs to encourage research and development by businesses in California. 5. Funding and policies for the promotion of California and the City and County of San Luis Obispo as a place to locate businesses that provide head-of-household jobs. 6. Economic development that is integrated with articulated Major City Goals such as climate action, environmental protection and social justice and diversity objectives. 7. Funding for the state tourism promotion program. 8. The effective and efficient use of all communications technologies including voice, video, data, and information services over wired and wireless transmission technologies and supporting net neutrality. 9. Telecommunications reform legislation and other measures that preserve local control over public rights-of-way, protect local resources, broadband and telecommunications for all residents and guarantee access to, funding for, and local flexibility in utilizing funds for public, educational and government (PEG) access television. 10. Federal and state funding of broadband infrastructure. 11. The expansion of public infrastructure financing tools and funding for infrastructure. 12. Funding, policies, and legislation that support access to childcare, transitional kindergarten (TK), and related services that strengthen the local workforce, reduce barriers to employment, and support economic resilience. Finance & Governance Support: 1. Meaningful fiscal reform that allows each level of government to adequately finance its service responsibilities while continuing to support efforts to protect the City from loss of revenues due to State take-aways and unfunded State or Federal mandates. 2. The continuation of California Specialized Training Institute activities within San Luis Obispo County. 3. Legislation to modernize the Ralph M. Brown Act to provide increased flexibility for remote participation in public meetings by elected and appointed officials and provide increased Page 34 of 251 LEGISLATIVE ACTION PLATFORM Page 15 opportunities for public engagement. 4. Legislation that furthers SB 1439’s intent to restrict “Pay-to-play” campaign financing but provides clarifications and modifications that reduce the administrative burden associated with the implementation as currently written. 5. The streamlining, clarification, and simplification of conflict-of-interest regulations applicable to local officials. 6. Tools and legislation that help cities fairly collect taxes and revenues owed. 7. Support monitoring and mitigating the impacts of federal FY 2026–27 budget legislation (H.R. 1) that could reduce federal funding to local programs, including Medi-Cal and CalFresh, and other safety-net services. Oppose: 8. Initiatives that unduly burden and/or prohibit local government ability to support essential services to the community. 9. Removal of the municipal bond tax exemption. Human Resources/Employee Relations Support: 1. Additional workers’ compensation reforms that lower employers' costs while still protecting workers and oppose legislation that would restrict appropriate cost controls in the workers’ compensation system. 2. Pension and retiree health benefits reform efforts, policy changes, and permissible administration decisions aimed at reducing unfunded liabilities, reducing costs, and ensuring the long-term viability of the defined benefit pension system in concert with the League of California Cities and the California Public Employees Retirement System (CalPERS) Board of Directors. 3. Legislation to protect the City's continued ability to administer its Cafeteria Benefit Plan and maintain comprehensive health care coverage for eligible employees, in a financially sustainable manner. 4. Reforms that limit the financial impacts of joint and several liability on public entities. 5. The clarification, modification, or repeal of AB 646 fact finding requirements and oppose measures that reduces local control over public employee disputes. 6. Federal legislation to modify, refine, or eliminate Federal Labor Standards Act (FLSA) requirements on Page 35 of 251 LEGISLATIVE ACTION PLATFORM Page 16 public agencies. 7. Reforms that limit the joint and several liability to agencies who have entered into Joint Powers Agreements (JPAs). 8. Meaningful statewide and national efforts to make quality health care more affordable and accessible to residents and reduce costs for cities and employers. 9. Clarification and modification of AB 3393 to reduce unnecessary administrative burden while maintaining the legislative intent, including clarifying that notice requirements apply only when fully contracting out represented positions or functions, and not to minor or ancillary contracts. Oppose: 10. The expansion of property rights in public employment and procedural requirements that hinder or significantly increase the public costs of effective performance management, including legislation that curtails management rights or obstructs the timely, efficient, and cost-effective implementation of performance management or disciplinary measures. 11. Measures that curtail management rights or impose local government mandated employee benefits that should be directly negotiated between labor groups and employers. Public Safety Support: 1. New and continued State and Federal funding for school safety, disaster preparedness, earthquake preparedness, Homeland Security, hazardous material response, State COPS (Citizen’s Options for Public Safety) program, CIT (Crisis Intervention Training) and other public safety activities. 2. Preservation of the City's authority to investigate police misconduct. 3. Local control on issuance of concealed weapons permits. 4. Legislation to help curb drug and alcohol-related criminal behavior and underage consumption. 5. Legislation to limit or end the sale of all nonflavored and flavored electronic smoking device products, including mint and menthol and to increase enforcement and education related to their use. 3 AB 339 (effective Jan 1, 2026) requires public agencies to give at least 45 days’ written notice before issuing RFPs, RFQs, or renewing contracts for services that overlap with represented employee work. Exemptions include public works, architect/engineering services, and emergency contracting. Page 36 of 251 LEGISLATIVE ACTION PLATFORM Page 17 6. The fair and efficient allocation of radio spectrum that provides quality frequencies, free from interference, for all local public safety communication needs. 7. Efforts to enhance radio and data system(s) stability and interoperability among public safety agencies and jurisdictions. 8. The City's right to regulate activities with adverse health and safety impacts on local streets, sidewalks, public spaces, and rights-of-way, including illegal street parties. 9. Legislation to improve and enhance the safety of cargo transported via rail, including but not limited to: safety enhancements for rail vessel construction with an emphasis on efforts to rapidly improve the safe transport of volatile crude oil and limit the use of older, “grandfathered” containers and vessels; enhancements in remote monitoring and control of railcar speeds; reduction of railcar speeds in populated areas like San Luis Obispo; enhancements in communications, notifications and information dissemination to local governments, especially public safety agencies. 10. Funding and programs to local jurisdictions to proactively reduce fire risk attributed to heavy vegetative fuels loads, high tree mortality, drought, and climate change to remove diseased, dead and/or down combustible vegetation, thin forests to improve forest health, and create effective defensible space between the undeveloped and developed environments. 11. Streamlining CEQA, including allowing exemptions, for fuel modification and reduction projects to strengthen wildfire prevention efforts while maintaining appropriate environmental safeguards. 12. Funding to support implementation of State-mandated actions within designated Fire Hazard Severity Zones. 13. Grants and aid to land/property owners with properties located within designated fire hazard severity zones (as designated by Cal Fire), which are threatened by wind-driven fire events, to harden structures again fire impingement and create sustainable defensible spaces. 14. Grants and aid to local governments to develop modern evacuation communications systems to effectively reach all residents in a timely fashion via voice, text, email, and other electronic means. 15. Legislation to preserve and enhance local control, at the city level, for the provision of public safety services, including the scope and provision of medical and non-medical emergency services and legislation that would result in the implementation of a statewide modern earthquake notification and evacuation communications system to effectively reach all residents in a timely fashion via voice, text, email, and other electronic means, which is available for use by local governments at the discretion of local governments. Page 37 of 251 LEGISLATIVE ACTION PLATFORM Page 18 16. Uniformity of state and federal regulations of drones and the study and adoption of appropriate local airport protections and public safety exemptions. 17. Legislation regarding the safe transport and storage of nuclear and hazardous waste. 18. Legislation to address the education, funding, and treatment of opioid addiction. 19. Legislation that expands funding to manage vegetation and fuel sources in the wildland urban interface. 20. Legislation to provide funding to help communities prepare for response, recovery and be resilient after natural disasters. 21. Funding to remove unwanted firearms from homes and businesses. 22. Responsive intervention programs that promote accountability and divert people away from both crime and prison. 23. Funding and training for emergency response to electrified vehicles and infrastructure. 24. Legislation and policies that protect and support individuals who are targeted by hate crimes and hate biased incidents. 25. Legislation and funding for Electric Vehicle (EV) fire mitigation, including specialized equipment and training for emergency responders, with potential contributions from EV manufacturers. 26. Reforms to improve affordability, availability, and mitigation incentives for fire insurance. 27. The San Luis Obispo County Air Pollution Control District's legislative program, where consistent with the City's adopted policies and platform. 28. Efforts to enhance dangerous animal regulation and enforcement. 29. Tighter retail regulation of nitrous oxide to reduce misuse and access. 30. Targeted controls and public-health response to emerging drug threats such as xylazine. 31. Legislation and funding that provide clear, practical, and locally adaptable guidance for Zone 0 defensible‑space requirements, including financial assistance for homeowners and flexibility to account for different community and property contexts. Page 38 of 251 LEGISLATIVE ACTION PLATFORM Page 19 Oppose: 32. New or increased state fees for state-provided law enforcement services. Public Works Support: 1. Increased availability of grant funding to create new infrastructure and replace aging infrastructure of all types, e.g., streets, bridges, water, sewer, parks, and storm sewer systems, etc. 2. Any funding opportunities, including grants and infrastructure programs, to support the planning, design, and construction of the Prado Road Interchange. 3. Increased funding for flood protection, clean stormwater, and low impact infrastructure projects. 4. Cooperation and prompt approval from Federal and State regulatory agencies (such as the Department of Fish & Wildlife, Regional Water Quality Control Board, and the Army Corps of Engineers) for necessary projects involving the City's creek system. 5. Monetary incentives or grant funding for electric vehicles for replacement of municipal fleet equipment. 6. Funding and policies that support and enhance active transportation modes such as bicycles, pedestrian, and transit. 7. Continued protection of SB-1 and other funding for transportation infrastructure maintenance. 8. Policies and legislation that maintains local control of parking rules, regulations, rates, and citation fees. 9. Policies and legislation that allow for increased enforcement ability for on and off-street parking with an emphasis on allowing automated parking control devices (e.g. parking space sensors, parking structure cameras, automated citations) for the purpose of issuing parking violations. 10. Permanently allowing local governments to use design-build processes and expand the types of projects that cities can use design build and progressive design-build. 11. Participation by County in providing nearby parking for County employees and clients, and alternate transportation and parking demand reduction. 12. The San Luis Obispo County Zone 9 Flood Control and Water Conservation District efforts to solve City/County flood problems. Page 39 of 251 LEGISLATIVE ACTION PLATFORM Page 20 13. Legislation that authorizes and facilitates the use of Community Workforce Agreements (CWAs), enabling local governments to establish project labor agreements that promote local hiring, fair wages, and workforce development while ensuring efficient project delivery. Parks and Recreation and Natural Resources Support: 1. State and Federal funding and other measures to promote the acquisition, protection, preservation and restoration of natural resources, open space, coastal resources, signature landforms, wetlands, and park development, including continued funding for the Land and Water Conservation Grant Program and for the California Conservation Corps. 2. The expansion of National Marine Sanctuary off the coast of San Luis Obispo County to further protect this fragile habitat from offshore oil and gas development. 3. State and Federal funding and other measures to conduct research and implement land management measures for the purpose of carbon sequestration. 4. Measures to prohibit discharge of pollutants into the creeks and ocean (e.g., selenium contaminated waters from the San Joaquin valley). 5. State and Federal funding and other measures to take advantage of opportunities for land and easement acquisition and enhancement project contracting. 6. Legislative exemption from property taxes on lands dedicated to open space purposes, which may be outside the boundaries of the jurisdiction owning such lands. 7. Funding to reduce or mitigate negative impacts to vital regional and community services and enhance public access to parks, open space, after school programming, senior services, facilities that promote physical activity, protect natural resources, and strengthen safety and security. 8. Policies that recognize the benefits of parks and recreational facilities in the advancement of "sustainable communities" and curbing greenhouse gas emissions including: strengthening policies that fund parks, open-space, bike lanes and non-motorized trails through the development and implementation of a carbon credit and offset program, and advocating for the strong integration of local and regional park and non-motorized transportation improvements into "Smart Growth Scenarios" pursuant to SB 375 (2008). 9. Access and connectivity to joint use of schools; parks and open space; development of streets and trails that encourage physical activity and healthy living. Page 40 of 251 LEGISLATIVE ACTION PLATFORM Page 21 10. The extension or permanent legislation at the federal level of enhanced tax deductions for charitable donations of Conservation Easements. 11. Legislation to limit the opening of protected public lands, e.g., Carrizo Plain, to fossil fuel extraction. 12. County land use policies and practices that are consistent with the Memorandum of Agreement adopted by the City Council and County Board of Supervisors in 2016 regarding development near the edges of the City and opposing inconsistent policies and practices. 13. The protection of our natural resources from invasive species. Oppose: 14. Any development under existing or new offshore oil and gas leases off the Coast of San Luis Obispo County. 15. Any development under existing or new oil and gas leases in San Luis Obispo County. Transportation Support: 1. Changes in gas tax laws that allow local tax for transportation purposes based on a majority vote of the public, as well as revenue replacement for electric vehicles to support transportation infrastructure. 2. The continuation of, and increased funding sources for street maintenance projects, transportation improvements, mass transportation, transit operations and multimodal facility projects. 3. Funding sources for fleet and transit electrification including full State funding support to enable compliance with zero-emission fleet mandates under the Innovative Clean Transit (ICT) and Advanced Clean Fleets (ACF) regulations. 4. Transportation funding for San Luis Obispo County, in particular funding that provides for alternative modes of transportation with clean air benefits or reductions in Vehicle Miles Traveled (VMT) and greenhouse gases. 5. Transportation funding and policy that promote regional bike and pedestrian connections between cities and other population centers. 6. Actions to: (1) promote cooperation and mutual support between metropolitan planning organization (MPO) agencies and local transit providers, and (2) discourage trends toward MPO agencies/regional "control" of local transit providers. Page 41 of 251 LEGISLATIVE ACTION PLATFORM Page 22 7. Support potential changes to the Transportation Development Act to assist local public transportation systems with funding eligibility. 8. Cooperation of private transportation companies (such as Union Pacific Railroad) to reach agreements for sharing of properly secured right of way corridors for other compatible uses such as bicycle and pedestrian facilities. 9. Funding for projects to implement adopted complete street plans demonstrated to improve public health and reduce greenhouse gas emissions. 10. Provision of Cap-and-Invest funding for active transportation projects. 11. Increased funding for existing Active Transportation Program (ATP) and other sources of bicycle and pedestrian transportation funding. 12. Funding for existing and future transportation needs, including continued implementation of SB 125 transit funding programs and other formula-based State transit funding that supports operations, capital projects, and transition to zero-emission technologies. 13. Funding strategies to reduce the personal cost of transportation, especially cargo and electric-assist bicycles and their supporting infrastructure. 14. Improvements of state and federal standards guiding application of street design and traffic control devices to allow more flexibility for local agencies to prioritize safety, particularly for vulnerable road users, and including locations that interface with the state highway system, consistent with calls to action from groups like the National Transportation Safety Board, NACTO and others. 15. Opportunities for improved coordination between state and local governments to advance common goals and priorities, such as opportunities for partnership projects between the City and Caltrans to advance safety and multimodal improvements to state highway facilities within and in the vicinity of the City. 16. Legislation for a Bike Safety Stop, in alignment with the National Association of City Transportation Officials (NACTO), that would authorize a person bicycling to treat a stop sign like a yield sign, giving right-of-way to other traffic at an intersection before proceeding safely through, but without the requirement to come to a full stop. 17. Consideration of increased funding and options for safe bike and pedestrian crossing of railroad tracks, including bridges, underpasses and controlled at-grade crossings. 18. Legislation to improve safety features for new motor vehicles, including requirements for side guards Page 42 of 251 LEGISLATIVE ACTION PLATFORM Page 23 on certain trucks and trailers and/or addition of devices that would limit the ability of drivers to unreasonably exceed posted speed limits. 19. The San Luis Obispo Council of Governments' legislative advocacy activities, where consistent with the City's adopted policies, platform, and public policy and project objectives. 20. Advocacy for the County of San Luis Obispo to build complete streets when building new roads, and to upgrade existing roadways to be complete streets. 21. Legislation and regulatory efforts that give cities the option to consider automated speed enforcement as a potential tool for improving traffic safety and reducing speeding-related accidents, especially in high-risk areas such as school zones. Oppose: 22. Proposed changes to statistical methodologies such as Metropolitan Statistical Areas that have the potential to reduce funding for transportation improvements in small and mid-sized metropolitan areas and/or reduce formula allocations to San Luis Obispo County. 23. Any reallocation or redirection of transportation funding, particularly Cap-and-Invest, SB 125, TIRCP, and State Transit Assistance funds; that would reduce funding available for transit operations or zero- emission fleet transition. 24. Legislation that would modify current restrictions to allow longer or heavier tractor-trailers to use public roadways, which would increase roadway wear and tear and degrade safety for other road users. Utilities Support: 1. Clean water and drinking water funding programs. 2. Recycling, waste diversion, and zero waste programs and enhancing local government's ability to comply with solid waste reduction requirements (includes building of recycling infrastructure and organics / biosolids composting facilities). 3. Measures that require the State Water Resources Control Board and Regional Water Quality Control Boards establish a process to evaluate, in advance of adoption, the costs of compliance for pending and future regulatory actions on National Pollutant Discharge Elimination System (NPDES) permittees. 4. Legislation that requires the State's environmental agencies to conduct peer review of proposed regulations to ensure that the proposal is based on sound science. Page 43 of 251 LEGISLATIVE ACTION PLATFORM Page 24 5. The elimination of mandatory minimum penalties for violations of NPDES Requirements and returning discretionary control to the Regional Water Quality Control Board Executive Officers (i.e., California Water Code Section 13385[h]). 6. Measures to ensure reasonableness in the administration of NPDES permit governing City operations, including pursuing a municipal representative on the Regional Water Quality Control Board. 7. The safe, responsible, and cost-effective reuse of Exceptional Quality or better biosolids. 8. County development of a local ordinance providing additional local oversight and regulation of the land application of Pollutant Concentration (PC) or better biosolids. 9. The Integrated Waste Management Authority’s (IWMA) legislative platform, where consistent with the City’s adopted policies, platforms, and public policy and project objectives. 10. Legislation allowing cities/agencies to establish fees for the costs of operating mandated water quality programs such as, but not limited to, municipal storm water and total maximum daily loading. 11. Federal legislative action and funding to transfer the property ownership of Salinas Reservoir from Army Corps of Engineers Military Project to Army Corps of Engineers Civil Works Project. 12. Federal and state funding that would allow for transfer of Salinas Reservoir from the Army Corps of Engineers to the County or City of San Luis Obispo. 13. Water conservation and water use efficiency best management practices. 14. Amendments to the Urban Water Management Planning Act to recognize past investment in water conservation and the City's ability to comply with SBx7-7 (2009) and other water conservation regulations. 15. The expansion of recycled water production and use, including potable reuse. 16. The use of Public Goods Funds for the development and installation of energy saving or green energy generating projects to benefit local government. 17. The protection of water resources, including protection of source waters from invasive species. 18. Regional water resiliency initiatives. 19. Requirements that development outside City jurisdiction have adequate water supplies to support development activities and intensities and does not indirectly impose water service obligations to Page 44 of 251 LEGISLATIVE ACTION PLATFORM Page 25 adjacent municipal water agencies. 20. Streamlined water rights amendment processes for minor water rights permit changes. 21. Federal and statewide funding of water infrastructure projects. 22. Amendments to stormwater regulatory requirements to reduce mandatory minimum fines and penalties and the recovery of private attorneys’ fees for technical non-compliance issues that do not result in adverse public health impacts or environmental harm. 23. Stormwater requirements that are related to specific issues and include reasonable implementation timeframes and funding. 24. Autonomy for management of individual Sustainable Groundwater Management Act designated basins within the county. 25. Funding for implementation of Groundwater Sustainability Plans including the San Luis Obispo/Edna Valley Basin. 26. Federal and state policies that require per- or polyfluoroalkyl substances (PFAS) source control and labelling by product manufacturers, producers, packagers, importers, suppliers, or distributors, or prohibit manufacturing of goods with PFAS. 27. Federal and state funding to assist with identification and cleanup of per- or polyfluoroalkyl substances (PFAS) contamination in public source water supplies and aquifers. 28. Federal or state legislation to protect and limit the liability of passive receivers such as public water and wastewater agencies facing the threat of either USEPA enforcement actions or third-party litigation from the decision to list PFAS as a hazardous substance. Oppose: 29. Measures reducing the city’s water security. 30. Legislation that requires recycled water to be included in water conservation regulations. 31. Mandatory consolidation of water systems. 32. Legislation that diminishes the City’s existing or potential water rights. 33. Legislation that inhibits the City's ability to collect water and sewer bills either through terminating service for non-payment or other reasonable means absent public health or safety emergencies. Page 45 of 251 LEGISLATIVE ACTION PLATFORM Page 26 34. Legislation that restricts water and sewer rates for certain customers to below the cost to provide service based on legitimate public interests such as affordable housing, senior housing, nonprofit public beneficial uses, and/or educational uses. 35. State or local per- or polyfluoroalkyl substances (PFAS) regulations that are more restrictive than federal regulations, with the exception of regulations that require per- or polyfluoroalkyl substances (PFAS) source control and labelling by product manufacturers, producers, packagers, importers, suppliers, or distributors, or prohibit manufacturing of goods with PFAS. Page 46 of 251 EXHIBIT A C - 2026 Legislative Action Platform (Marked Version).docx 202 6 CITY OF SAN LUIS OBISPO LEGISLATIVE ACTION PLATFORM ADOPTED BY CITY COUNCIL RESOLUTION NO. XXXXX (2026 SERIES) Page 47 of 251 LEGISLATIVE ACTION PLATFORM Page 2 About this Legislative Platform This Legislative Platform, adopted by the City of San Luis Obispo Council, will establish the City’s position on legislative matters of priority and importance to the City. The Legislative Platform is reviewed regularly and updated on an annual basis. The Legislative Platform shall be published and disseminated widely to promote transparency and awareness among the public. The City shares its Legislative Platform with Federal and State legislators, as well as the County Board of Supervisors. This public document serves as a guiding framework for the City's legislative advocacy efforts throughout the year. Advocacy The Legislative Platform reflects those legislative matters on which the council majority authorizes the Mayor, City Manager and City Attorney to engage in legislative advocacy on behalf of the City without the need for further council review or authority. The council’s authorization extends only to advocacy for or against generally applicable legislative proposals (including those pertaining to budget, regulations, policies, and programs) being considered by local, regional, state and/or federal policy makers or regulators consistent with Major City Goals and adopted City policy platforms. It does not otherwise extend to advocacy for or against any individual project, program, or entitlement application pending before any decision-making body, unless specifically noted herein. The League of California Cities (Cal Cities) The City actively participates in the Cal Cities, a statewide association r epresenting most of California’s 483 cities. Cal Cities advocates for local control through legislative efforts, ballot measures, legal action, and strategic outreach to educate policymakers, opinion leaders, and the public. It also conducts legislative analysis and advocacy on behalf of cities for key State and Federal issues. Through the Council’s adopted Legislative Platform resolution, the City takes positions consistent with Cal Cities’ recommendations. The 2026 Cal Cities advocacy priorities include: 1. Protect and enhance local revenues and expand economic development tools. 2. Strengthen partnerships with the state to improve public safety. 3. Secure investments to prevent and reduce homelessness and increase the supply of affordable housing. 4. Strengthen climate change resiliency and disaster preparedness. Consistency with City Goals and Policies Page 48 of 251 LEGISLATIVE ACTION PLATFORM Page 3 The City of San Luis Obispo’s Legislative Action Platform is designed to align with the City’s and broader strategic priorities. The platform provides a framework for legislative advocacy; however, all positions that the City takes should be consistent with adopted City policies, strategic plans, and/or overarching Major City Goals where feasible. This ensures a cohesive and strategic approach to legislative engagement that reflects the City’s priorities and values. For emerging issues or situations not outlined in the Legislative Platform or recommended through Cal Cities, City staff will work with the City Council for further direction. Figure 1 - 2025-27 Council Adopted Major City Goals Page 49 of 251 LEGISLATIVE ACTION PLATFORM Page 4 Contents Climate Action ............................................................................................................................................... 5 Energy ........................................................................................................................................................... 6 Diversity, Equity, and Inclusion for All .......................................................................................................... 7 Homelessness Resources .............................................................................................................................. 9 Community Development ....................................................................................................................... 1211 Tenant Protections ...................................................................................................................................... 13 Economic Development .............................................................................................................................. 13 Finance & Governance ................................................................................................................................ 14 Human Resources/Employee Relations ...................................................................................................... 15 Public Safety ............................................................................................................................................ 1716 Public Works ............................................................................................................................................... 19 Parks and Recreation and Natural Resources ............................................................................................. 20 Transportation ............................................................................................................................................ 21 Utilities .................................................................................................................................................... 2423 Page 50 of 251 LEGISLATIVE ACTION PLATFORM Page 5 Climate Action Support: 1. Funding for communities to pay for public infrastructure that meet s state greenhouse gas emission reduction goals and adopted City objectives. 2. Funding to implement programs and related action items contained in local and regional Climate Action Plans to quantitatively reduce greenhouse gas emissions and advocate for regulatory reform, including but not limited to clean technologies, micro-grids, all electric/zero-emission buildings, electrified transportation, behind the meter technology, and natural solutions (e.g., tree planting, open space conservation, and contemporary land management and restoration practices). 3. Regulatory reform to facilitate the transition to clean technologies, microgrids, low and zero carbon energy generation, and decarbonized buildings. 4. Legislation and regulation that is aligned with the City’s goals of carbon neutrality by 2035 and sub- goals related to municipal operations, clean electricity, building decarbonization, clean mobility, organic waste diversion, and natural solutions. 5. Legislation and regulation that is aligned with the policies and programs set forth by the Climate Adaptation and Safety Element including using future projections for climate hazards in planning decisions, investing in community resilience, and adapting built infrastructure and natural ecosystems to climate change hazards and disturbances. 6. Funding and resources to focus climate investments on programs and projects that support environmental justice, economic and racial equity, and head of household jobs. 7. Legislation, policies, and regulation that extend producer responsibility for packaging and single-use product manufacturing as to encourage source reduction and the manufacturing of reusable and sustainable products. 8. Legislation, policies, and regulation that that make waste diversion and reduction more equitable for our residents and businesses. 9. Legislation that makes recycling organic waste and edible food recovery and distribution more efficient and easily accessible to residents and businesses in need. Oppose: 10. Legislation and regulation that limits the City’s ability to achieve its goals of carbon neutrality by 2035 and sub-goals related to municipal operations, clean electricity, building decarbonization, clean mobility, organic waste diversion, and natural solutions. Page 51 of 251 LEGISLATIVE ACTION PLATFORM Page 6 Energy Support: 1. Reform of the California Public Utilities Commission (CPUC) structure and policies, state regulation, and state legislation to accelerate equitable building and transportation decarbonization. 2. CPUC reform that ties investor-owned utility compensation to performance consistent with state policy objectives. 3. California Community Choice Associations’ (Cal CCA) Regulatory and Legislative Platform, where consistent with the City’s legislative platform. 4. Reform of CPUC policies and state legislation to ensure investor-owned utilities are able and required to provide timely, accurate, and sufficiently detailed energy data. 5. Reform of CPUC policies and state legislation that supports increased, equitable, and affordable access to distributed energy resources, including rooftop solar. 6. Support legislation and regulatory actions that improve electricity affordability while maintaining consistency with the City’s other platform positions, including preserving access to rooftop solar and protecting ratepayer-funded decarbonization and energy efficiency programs. 7. Reform of CPUC policies, state regulation, and state legislation that support low income zero emission buildings, including support for mobile home parks, low-income households, and other disadvantaged community members. 8. The Central Coast Regional Energy Network at the County Board of Supervisors, the CPUC, and related relevant entities and supporting pilot projects in the City as feasible. 9. Regional and regulatory collaboration to fund and support climate change impact projections and coordinate approaches for increasing regional resilience. 10. Sustainable and resilient energy programs. 11. Legislation in alignment with Central Coast Community Energy Policy Board and Operations Board Positions.1 1 The City Council approved the City joining Central Coast Community Energy (3CE) in September 2018 and City representatives have been seated on 3CE’s Policy Board, Operations Board, and Community Advisory Council since 2019. This section of the City’s Legislative Platform identifies City of San Luis Obispo policy positions on key topics that may come before the various boards and advisory bodies of 3CE. The policy positions contained herein are Page 52 of 251 LEGISLATIVE ACTION PLATFORM Page 7 a. 3CE investment in and support for distributed energy resources (e.g., rooftop solar), virtual power plants, demand response, behind the meter technology and energy efficiency. b. 3CE in evaluating and deploying programs that are climate action force multipliers (e.g., tariffed on-bill financing, virtual power plants, etc.). c. Processes that are transparent, collaborative, visible, accessible, and inclusive. d. Rate, rebate, and revenue structures that create a robust programs budget. e. Regional climate action and a portfolio of programs that are strategically implemented to achieve regional climate targets. f. Local government access to data, transparent GHG emissions reporting, and sub-annual emissions factors as available. g. Processes and governance approaches that provide sufficient time for Board members to fully participate and drive decisions, from inception to implementation. 12. Legislation and regulatory efforts that promote the safe deployment, operation, and decommissioning of battery energy storage systems (BESS). 13. Actions and legislation related to Diablo Canyon Power Plant that are consistent with the City’s 2016 adopted guiding principles, including:  Ensuring public safety and environmental protection during continued operations or decommissioning.  Securing fiscal mitigation measures to offset local economic and infrastructure impacts.  Investigating opportunities for job creation, economic diversification, and the reuse of facilities or lands in ways that provide long‑term community benefit.  Advancing open-space and community benefit outcomes for lands associated with the plant.  Promoting transparent stakeholder engagement and collaboration with local jurisdictions. Oppose: 14. Legislative and CPUC decisions that negatively impact CCAs or otherwise shift the financial obligations of investor-owned utilities to CCAs. Diversity, Equity, and Inclusion for All Support: 1. Legislation that creates, expands, and/or provides broad authority to jurisdictions to develop and implement diversity, equity, and inclusion programs, policies, or initiatives to address systemic intended to guide Board member deliberation, and voting and staff review of agenda, but are not an exhaustive list of issues that may arise. These positions are intended to extend only to advocacy for or against generally applicable policy proposals being considered by 3CE and does not extend to advocacy on any indivi dual project or entitlement application pending before any decision -making body, nor does it extend to the larger legislative platform of the City. Page 53 of 251 LEGISLATIVE ACTION PLATFORM Page 8 inequities that disproportionately impact Black, Indigenous, People of Color (BIPOC), LGBTQIA+, and other marginalized, underserved, and underrepresented communities. 2. Legislation that centers reforms for advancing access for undocumented individuals’ health, well- being, and success. 3. Education and employment opportunities and development of upward economic mobility and access to programs such as childcare, after-school activities, school’s family support networks and supportive services for individuals aging out of the foster care system. 4. Increased availability of grant funding for ADA accessibility improvements and connectivity to streets, parks, and other public infrastructure. 5. Amendments to the California Elections Code to expand safe harbor provisions in response to district elections demands under the California Voting Rights Act to include remedies, in addition to district elections, to enhance quantifiable equity gains in participation and representation in local elections, including, but not limited to cumulative voting, limited voting, ranked choice voting and other voting structures that can be demonstrated to advance voter engagement and equity. 6. Legislation that furthers jurisdictions’ abilities to create policies that protect voting rights and work to disrupt voter suppression tactics that disproportionately impact Black, Indigenous, and other communities of color. 7. Legislation that provides funding sources for appropriate human service agencies that support the mission of the Human Relations Commission. 8. Legislation and funding to increase affordable and equitable childcare services, and activities, and options for working low-income families. 9. Legislation related to implementation of the Racial Equity Framework2 and resources and tools to promote racial equity and address structural racism. 10. Legislation that creates programs or policies that contribute to family friendly workplace environments that may include, but are not limited to, leave for reproductive loss, paid parental leave, flextime, and job sharing. 11. Legislation that advances access and expands funding for services, programs, and/or projects 2 Executive Order N-16-22 establishes the State's authority to develop plans and strategies to advance equity and identify disparities. Within the Executive Order, there are specifics for the Governor's Office of Planning & Research to create the Racial Equity Commission (REC). One of the duties of the REC is to produce a Racial Equity Framework, which will contain strategies for state, county, and local governments to implement. Page 54 of 251 LEGISLATIVE ACTION PLATFORM Page 9 centered in addressing inequities that disproportionately impact Black, Indigenous, People of Color (BIPOC), LGBTQIA+, and other marginalized, underserved, and underrepresented communities. 12. Legislation that subsidizes or provides funding for translation and interpretation services for local governments to ensure all members of a community can be civically engaged and easily access government programs and services. 13. Legislation that strengthens the California Civil Rights Department and its ability to respond to and address hate and discrimination cases appropriately. 14. Medicare reforms, including updates to geographic designation criteria, that promote equity, expand access to care, enhance regional collaboration, and ensure healthcare sustainability on the Central Coast 15. Legislation that maintains civil rights protections, improves transparency, and builds community trust in Federal immigration enforcement for our City residents. Oppose: 16. Legislation that limits or preempts local authority to design, implement, or evaluate polices, programs, or initiatives intended to advance access, belonging, or equitable outcomes, particularly where such limitations hinder local government's ability to responds to documented community needs or disparities. Homelessness Resources Support: 1. Legislation and funding for the prevention of homelessness and support of families and individuals vulnerable to becoming homeless. 2. Funding for project-based, permanent affordable housing. 3. Funding for the entire housing spectrum (including affordable units, ADUs, Tiny Homes, Temporary Emergency Shelters and family housing, and supportive housing for all unhoused individuals and families including those with mental health needs, the medically fragile, and aging adults.) 4. Increased flexibility in the use of Federal Funds at the local level to address the full spectrum of services and transitional housing for individuals who are unhoused. Page 55 of 251 LEGISLATIVE ACTION PLATFORM Page 10 5. Nonprofit eviction prevention services for low-income individuals and families. 6. Programs and funding to encourage private market landlords to provide affordable units, participate in housing voucher programs, and upgrade units for energy efficiency. 7. Funding that encourages unique multi-departmental and inter-governmental collaboration to assist individuals experiencing homelessness, such as the City’s Community Action Team (CAT) and Mobile Crisis Unit (MCU), as well as Crisis Intervention Training (CIT) for public safety personnel. 8. Employment services and job training opportunities for individuals who are homeless or at-risk of becoming homeless. 9. Funding for federal, state, county and local coordination with non-profit and faith-based organizations to prevent and address homelessness. 10. Funding for the removal and storage of unhoused individual’s belongings and the cleaning of sites used by unhoused residents, in alignment with the City’s Compassionate Assistance, Mitigation & Prevention (CAMP) Standards and Temporary Storage Guidelines. 11. Funding and programs that promote whole person care approaches that include access to expanded medical, mental, and behavioral health services, including substance use disorder treatment services, and new approaches to financing health care access and patient wellness to reduce avoidable emergency room visits, hospital stays and readmissions. 12. Increased funding and statutory authorization for crisis intervention, involuntary assessment and commitment, guardianship control, and health welfare intervention and supervision of those suffering from chronic homelessness, mental health conditions and addiction, and recognition of mental illness and addiction as contributors to chronic homelessness. 13. Streamlined protocols and metrics to be used by homeless service providers, local agencies, and other non-governmental partners to capture and share accurate statistics of individuals experiencing homelessness, including vacancy and capacity rates, in-flow and out-flow information, cost-reporting of services provided and rendered, and individuals successfully housed. 14. Legislation, programs, funding, court intervention, and statutory authorization for a unified crisis response system to enhance the ability of the County Behavioral Health Director, crisis response personnel, family members and social service providers to share information necessary for effective treatment interventions and to compel assisted outpatient treatment for a person exiting a conservatorship and those lacking capacity to provide for their own healthcare, shelter and food needs. Page 56 of 251 LEGISLATIVE ACTION PLATFORM Page 11 15. Legislation that would allow the courts and crisis intervention personnel to consider a person’s medical, addiction and mental health conditions, history of adverse impacts on community health and safety, and capacity of individuals to provide for their own health, shelter, and food needs in mandating program participation in connection with criminal justice and other contacts, including or expansion of the definition of “gravely disabled” under code section 5150 et seq. in evaluating whether an individual is a danger to themselves or others. 16. Legislation for Mental Health Services Act (MHSA) to allow for flexibility in funds earmarked for “Innovation” programs that are aimed at finding new and different ways to provide services. 17. Legislation, funding, programs, and policies to help expand capacity in local psychiatric health facilities, delivery of case management, drug, alcohol, and detoxification services and facilities, assisted living beds for medically fragile people, and mental health services for all County residents. 18. Advocation that the County lead in the area of expanding humane shelter and housing opportunities for the unhoused population and expand outreach and case management services specifically tailored to the needs of unhoused individuals in the County to transition out of homelessness. 19. The use of data from public safety, City, and regional Community Action Teams (CAT) and Mobile Crisis Units (MCU) outcomes, to advocate that the County allocate new resources to scale up these programs to match the need. 20. An effective and efficient implementation of San Luis Obispo County’s 5-Year Plan to Address Homelessness. 21. State and federal funding of mandates to provide care and services to vulnerable populations. 22. Legislative efforts to repeal Article 34 of the California Constitution, which requires majority approval by the voters of a city or county for the development, construction, or acquisition of a publicly funded affordable housing project. 23. Assistance for those experiencing physical and mental health impacts of a pandemic or other disaster. 24. Regional efforts to create a spectrum of housing types (including board and care and housing types that include other supportive services) within the County to house the unhoused. Oppose: 25. Legislation that seeks to circumvent local control and consideration of local circumstances and safety of the general public when addressing homelessness. Page 57 of 251 LEGISLATIVE ACTION PLATFORM Page 12 Community Development Support: 1. Local control of land use planning and zoning matters. 2. State and Federal assistance to prevent the loss of housing for those impacted by local, state, or federal disasters. 3. Reforms of the State mandated HCD Regional Housing Need Allocations process to recognize local resource limitations, regional collaboration, and development, and align infrastructure and other funding to help communities meet mandated housing requirements. 4. Planning and funding of on-campus housing at Cal Poly for students, staff and faculty as included in the Cal Poly Master Plan, including an on campus Greek row. 5. Increased and ongoing funding sources for affordable housing and supportive housing services for very low-, low-, and moderate-income individuals and families in all cities and communities and opposing the erosion of local inclusionary housing and in-lieu fee programs. 6. Continued funding of National Housing Trust Fund and streamlined and efficient implementation regulations at the state level. 7. Additional state funding to implement AB 32 (The California Global Warming Solutions Act of 2006) and SB 375 (The Sustainable Communities and Climate Protection Act of 2008) through local general plan updates that implement the regional sustainable communities plan and alternative planning strategy, if needed. 8. Funding for the identification, acquisition, maintenance and restoration of historic sites and structures. 9. Continued and expanded funding for the Community Development Block Grant (CDBG) program. 10. Policies, programs and funding to support opportunities to convert vacant commercial spaces to affordable housing and childcare facilities. 11. State and federal level down-payment assistance programs and the expansion of below-market rate assistance programs. 12. Continued local control over mobile home park rent stabilization and local control over the conversion of mobile home parks to other uses to ensure that low-income mobile home park residents are not involuntarily removed from homes or otherwise subject to involuntary displacement due to economic Page 58 of 251 LEGISLATIVE ACTION PLATFORM Page 13 impacts of parks subdivision or conversion. 13. The protection, enhancement, and increased production of mobile home park residency opportunities. 14. The ability to issue parking citations on private property. 15. Responsible review and revision of CEQA to ensure sound environmental determinations with a focus on CEQA reform that specifically addresses housing production and rezoning efforts to facilitate housing. 16. Pragmatic and clarifying actions to implement Proposition 64 Cannabis legalization, including increased funding for health education, the preservation of local land use decision making reconciliation of conflicts in state and federal law, and systems for legal banking. 17. Funding for seismic retrofitting for buildings that haven't been retrofitted. 18. Participation in the study period for AB 835 regarding building standards for single exit, single stairway apartment houses. 18. Building code reforms to enable single-stair mid-rise apartment buildings that meet modern fire and life-safety standards. 19. Legislation that provides reasonable definitions, interpretive guidance, and flexible implementation timelines for transit-oriented housing laws (including SB 79 and related follow-up bills). Tenant Protections Support: 1. Increased relocation assistance (AB 1482 2019) when a tenant is evicted due to no-fault of their own. 2. Increases in state and federal approaches to renter protections for rental housing and enforcement of existing renter protections in accordance with the California Civil Codes including but not limited to Cal. Civ. Code §§ 1940-1954.1 (includes Tenant Protection Act). 3. Legislation, policies, and programs that expand tenant affordability and stability. Economic Development Support: 1. State and federal assistance for those people and businesses facing severe economic losses due to pandemic or other disasters. Page 59 of 251 LEGISLATIVE ACTION PLATFORM Page 14 2. Regional economic activities except for those that promote weapons or fossil fuel production or distribution activities. 3. Direct assistance and/or legislation that supports local agencies with recovering costs related to the pandemic or other disasters and stimulate economic development, resiliency, and recovery. 4. Funding and legislation using tax credits or other incentive programs to encourage research and development by businesses in California. 5. Funding and policies for the promotion of California and the City and County of San Luis Obispo as a place to locate businesses that provide head-of-household jobs. 6. Economic development that is integrated with articulated Major City Goals such as climate action, environmental protection and social justice and diversity objectives. 7. Funding for the state tourism promotion program. 8. The effective and efficient use of all communications technologies including voice, video, data, and information services over wired and wireless transmission technologies and supporting net neutrality. 9. Telecommunications reform legislation and other measures that preserve local control over public rights-of-way, protect local resources, broadband and telecommunications for all residents and guarantee access to, funding for, and local flexibility in utilizing funds for public, educational and government (PEG) access television. 10. Federal and state funding of broadband infrastructure. 11. The expansion of public infrastructure financing tools and funding for infrastructure. 12. Funding, policies, and legislation that support access to childcare, transitional kindergarten (TK), and related services that strengthen the local workforce, reduce barriers to employment, and support economic resilience. 13. Legislation exempting public art projects from contractor licensing requirements to expand artist eligibility and reduce project costs. Finance & Governance Support: 1. Meaningful fiscal reform that allows each level of government to adequately finance its service responsibilities while continuing to support efforts to protect the City from loss of revenues due to Page 60 of 251 LEGISLATIVE ACTION PLATFORM Page 15 State take-aways and unfunded State or Federal mandates. 2. Collection of the full amount of local transient occupancy tax from online sales of lodging. 2. Tools and legislation that help cities fairly collect taxes and revenues owed. 3. The continuation of California Specialized Training Institute activities within San Luis Obispo County. 4. Legislation to modernize the Ralph M. Brown Act to provide increased flexibility for remote participation in public meetings by elected and appointed officials and provide increased opportunities for public engagement. 5. Legislation that furthers SB 1439’s intent to restrict “Pay-to-play” campaign financing but provides clarifications and modifications that reduce the administrative burden associated with the implementation as currently written. 6. The streamlining, clarification, and simplification of conflict-of-interest regulations applicable to local officials. 7. Support monitoring and mitigating the impacts of federal FY 2026–27 budget legislation (H.R. 1) that could reduce federal funding to local programs, including Medi-Cal and CalFresh, and other safety-net services. 8. Legislation that would provide an exemption from the current Bradley-Burns two percent local sales tax cap for the San Luis Obispo Council of Governments (SLOCOG) to pursue a regional sales tax measure for transportation, subject to voter approval.3 Oppose: 8. Initiatives that unduly burden and/or prohibit local government ability to support essential services to the community. 9. Removal of the municipal bond tax exemption. Human Resources/Employee Relations Support: 1. Additional workers’ compensation reforms that lower employers' costs while still protecting workers and oppose legislation that would restrict appropriate cost controls in the workers’ compensation system. 3 This was approved by Council on January 21, 2025, as a standalone legislative advocacy item. Page 61 of 251 LEGISLATIVE ACTION PLATFORM Page 16 2. Pension and retiree health benefits reform efforts, policy changes, and permissible administration decisions aimed at reducing unfunded liabilities, reducing costs, and ensuring the long-term viability of the defined benefit pension system in concert with the League of California Cities and the California Public Employees Retirement System (CalPERS) Board of Directors. 3. Legislation to protect the City's continued ability to administer its Cafeteria Benefit Plan and maintain comprehensive health care coverage for eligible employees, in a financially sustainable manner. 4. Reforms that limit the financial impacts of joint and several liability on public entities. 5. The clarification, modification, or repeal of AB 646 fact finding requirements and oppose measures that reduces local control over public employee disputes. 6. Federal legislation to modify, refine, or eliminate Federal Labor Standards Act (FLSA) requirements on public agencies. 7. Reforms that limit the joint and several liability to agencies who have entered into Joint Powers Agreements (JPAs). 8. Meaningful statewide and national efforts to make quality health care more affordable and accessible to residents and reduce costs for cities and employers. 9. Clarification and modification of AB 3394 to reduce unnecessary administrative burden while maintaining the legislative intent, including clarifying that notice requirements apply only when fully contracting out represented positions or functions, and not to minor or ancillary contracts. Oppose: 10. The expansion of property rights in public employment and procedural requirements that hinder or significantly increase the public costs of effective performance management, including legislation that curtails management rights or obstructs the timely, efficient, and cost-effective implementation of performance management or disciplinary measures. 11. Measures that curtail management rights or impose local government mandated employee benefits that should be directly negotiated between labor groups and employers. 4 AB 339 (effective Jan 1, 2026) requires public agencies to give at least 45 days’ written notice before issuing RFPs, RFQs, or renewing contracts for services that overlap with represented employee work. Exemptions include public works, architect/engineering services, and emergency contracting. Page 62 of 251 LEGISLATIVE ACTION PLATFORM Page 17 Public Safety Support: 1. New and continued State and Federal funding for school safety, disaster preparedness, earthquake preparedness, Homeland Security, hazardous material response, State COPS (Citizen’s Options for Public Safety) program, CIT (Crisis Intervention Training) and other public safety activities. 2. Preservation of the City's authority to investigate police misconduct. 3. Local control on issuance of concealed weapons permits. 4. Legislation to help curb drug and alcohol-related criminal behavior and underage consumption. 5. Legislation to limit or end the sale of all nonflavored and flavored electronic smoking device products, including mint and menthol and to increase enforcement and education related to their use. 6. The fair and efficient allocation of radio spectrum that provides quality frequencies, free from interference, for all local public safety communication needs. 7. Efforts to enhance radio and data system(s) stability and interoperability among public safety agencies and jurisdictions. 8. The City's right to regulate activities with adverse health and safety impacts on local streets, sidewalks, public spaces, and rights-of-way, including illegal street parties. 9. Legislation to improve and enhance the safety of cargo transported via rail, including but not limited to: safety enhancements for rail vessel construction with an emphasis on efforts to rapidly improve the safe transport of volatile crude oil and limit the use of older, “grandfathered” containers and vessels; enhancements in remote monitoring and control of railcar speeds; reduction of railcar speeds in populated areas like San Luis Obispo; enhancements in communications, notifications and information dissemination to local governments, especially public safety agencies. 10. Funding and programs to local jurisdictions to proactively reduce fire risk attributed to heavy vegetative fuels loads, high tree mortality, drought, and climate change to remove diseased, dead and/or down combustible vegetation, thin forests to improve forest health, and create effective defensible space between the undeveloped and developed environments. 11. Streamlining CEQA, including allowing exemptions, for fuel modification and reduction projects to strengthen wildfire prevention efforts while maintaining appropriate environmental safeguards. 12. Funding to support implementation of State-mandated actions within designated Fire Hazard Severity Page 63 of 251 LEGISLATIVE ACTION PLATFORM Page 18 Zones. 13. Grants and aid to land/property owners with properties located within designated fire hazard severity zones (as designated by Cal Fire), which are threatened by wind-driven fire events, to harden structures again fire impingement and create sustainable defensible spaces. 14. Grants and aid to local governments to develop modern evacuation communications systems to effectively reach all residents in a timely fashion via voice, text, email, and other electronic means. 15. Legislation to preserve and enhance local control, at the city level, for the provision of public safety services, including the scope and provision of medical and non-medical emergency services and legislation that would result in the implementation of a statewide modern earthquake notification and evacuation communications system to effectively reach all residents in a timely fashion via voice, text, email, and other electronic means, which is available for use by local governments at the discretion of local governments. 16. Uniformity of state and federal regulations of drones and the study and adoption of appropriate local airport protections and public safety exemptions. 17. Legislation regarding the safe transport and storage of nuclear and hazardous waste. 18. Legislation to address the education, funding, and treatment of opioid addiction. 19. Legislation that expands funding to manage vegetation and fuel sources in the wildland urban interface. 20. Legislation to provide funding to help communities prepare for response, recovery and be resilient after natural disasters. 21. Funding to remove unwanted firearms from homes and businesses. 22. Responsive intervention programs that promote accountability and divert people away from both crime and prison. 23. Funding and training for emergency response to electrified vehicles and infrastructure. 24. Legislation and policies that protect and support individuals who are targeted by hate crimes and hate biased incidents. 25. Legislation and funding for Electric Vehicle (EV) fire mitigation, including specialized equipment and training for emergency responders, with potential contributions from EV manufacturers. Page 64 of 251 LEGISLATIVE ACTION PLATFORM Page 19 26. Reforms to improve affordability, availability, and mitigation incentives for fire insurance. 27. The San Luis Obispo County Air Pollution Control District's legislative program, where consistent with the City's adopted policies and platform. 28. Efforts to enhance dangerous animal regulation and enforcement. 29. Tighter retail regulation of nitrous oxide to reduce misuse and access. 30. Targeted controls and public-health response to emerging drug threats such as xylazine. 31. Legislation and funding that provide clear, practical, and locally adaptable guidance for Zone  Zero defensible‑space requirements, including financial assistance for homeowners and flexibility to account for different community and property contexts. Oppose: 32. New or increased state fees for state-provided law enforcement services. Public Works Support: 1. Increased availability of grant funding to create new infrastructure and replace aging infrastructure of all types, e.g., streets, bridges, water, sewer, parks, and storm sewer systems, etc. 2. Any funding opportunities, including grants and infrastructure programs, to support the planning, design, and construction of the Prado Road Interchange. 3. Increased funding for flood protection, clean stormwater, and low impact infrastructure projects. 4. Cooperation and prompt approval from Federal and State regulatory agencies (such as the Department of Fish & Wildlife, Regional Water Quality Control Board, and the Army Corps of Engineers) for necessary projects involving the City's creek system. 5. Monetary incentives or grant funding for electric vehicles for replacement of municipal fleet equipment. 6. Funding and policies that support and enhance active transportation modes such as bicycles, pedestrian, and transit. 7. Continued protection of SB-1 and other funding for transportation infrastructure maintenance. Page 65 of 251 LEGISLATIVE ACTION PLATFORM Page 20 8. Policies and legislation that maintains local control of parking rules, regulations, rates, and citation fees. 9. Policies and legislation that allow for increased enforcement ability for on and off-street parking with an emphasis on allowing automated parking control devices (e.g. parking space sensors, parking structure cameras, automated citations) for the purpose of issuing parking violations. 10. Permanently allowing local governments to use design-build processes and expand the types of projects that cities can use design build and progressive design-build. 11. Participation by County in providing nearby parking for County employees and clients, and alternate transportation and parking demand reduction. 12. The San Luis Obispo County Zone 9 Flood Control and Water Conservation District efforts to solve City/County flood problems. 13. Legislation that authorizes and facilitates the use of Community Workforce Agreements (CWAs), enabling local governments to establish project labor agreements that promote local hiring, fair wages, and workforce development while ensuring efficient project delivery. Parks and Recreation and Natural Resources Support: 1. State and Federal funding and other measures to promote the acquisition, protection, preservation and restoration of natural resources, open space, coastal resources, signature landforms, wetlands, and park development, including continued funding for the Land and Water Conservation Grant Program and for the California Conservation Corps. 2. The expansion of National Marine Sanctuary off the coast of San Luis Obispo County to further protect this fragile habitat from offshore oil and gas development. 3. State and Federal funding and other measures to conduct research and implement land management measures for the purpose of carbon sequestration. 4. Measures to prohibit discharge of pollutants into the creeks and ocean (e.g., selenium contaminated waters from the San Joaquin valley). 5. State and Federal funding and other measures to take advantage of opportunities for land and easement acquisition and enhancement project contracting. 6. Legislative exemption from property taxes on lands dedicated to open space purposes, which may be outside the boundaries of the jurisdiction owning such lands. Page 66 of 251 LEGISLATIVE ACTION PLATFORM Page 21 7. Funding to reduce or mitigate negative impacts to vital regional and community services and enhance public access to parks, open space, after school programming, senior services, facilities that promote physical activity, protect natural resources, and strengthen safety and security. 8. Policies that recognize the benefits of parks and recreational facilities in the advancement of "sustainable communities" and curbing greenhouse gas emissions including: strengthening policies that fund parks, open-space, bike lanes and non-motorized trails through the development and implementation of a carbon credit and offset program, and advocating for the strong integration of local and regional park and non-motorized transportation improvements into "Smart Growth Scenarios" pursuant to SB 375 (2008). 9. Access and connectivity to joint use of schools; parks and open space; development of streets and trails that encourage physical activity and healthy living. 10. The extension or permanent legislation at the federal level of enhanced tax deductions for charitable donations of Conservation Easements. 11. Legislation to limit the opening of protected public lands, e.g., Carrizo Plain, to fossil fuel extraction. 12. County land use policies and practices that are consistent with the Memorandum of Agreement adopted by the City Council and County Board of Supervisors in 2016 regarding development near the edges of the City and opposing inconsistent policies and practices. 13. The protection of our natural resources from invasive species. Oppose: 14. Any development under existing or new offshore oil and gas leases off the Coast of San Luis Obispo County. 15. Any development under existing or new oil and gas leases in San Luis Obispo County. Transportation Support: 1. Changes in gas tax laws that allow local tax for transportation purposes based on a majority vote of the public, as well as revenue replacement for electric vehicles to support transportation infrastructure. 2. The continuation of, and increased funding sources for street maintenance projects, transportation improvements, mass transportation, transit operations and multimodal facility projects. Page 67 of 251 LEGISLATIVE ACTION PLATFORM Page 22 3. Funding sources for fleet and transit electrification including full State funding support to enable compliance with zero-emission fleet mandates under the Innovative Clean Transit (ICT) and Advanced Clean Fleets (ACF) regulations. 4. Transportation funding for San Luis Obispo County, in particular funding that provides for alternative modes of transportation with clean air benefits or reductions in Vehicle Miles Traveled (VMT) and greenhouse gases. 5. Transportation funding and policy that promote regional bike and pedestrian connections between cities and other population centers. 6. Actions to: (1) promote cooperation and mutual support between metropolitan planning organization (MPO) agencies and local transit providers, and (2) discourage trends toward MPO agencies/regional "control" of local transit providers. 7. Support potential changes to the Transportation Development Act to assist local public transportation systems with funding eligibility. 8. Cooperation of private transportation companies (such as Union Pacific Railroad) to reach agreements for sharing of properly secured right of way corridors for other compatible uses such as bicycle and pedestrian facilities. 9. Funding for projects to implement adopted complete street plans demonstrated to improve public health and reduce greenhouse gas emissions. 10. Provision of Cap-and-Trade Invest funding for active transportation projects. 11. Increased funding for existing Active Transportation Program (ATP) and other sources of bicycle and pedestrian transportation funding. 12. Funding for existing and future transportation needs, including continued implementation of SB 125 transit funding programs and other formula-based State transit funding that supports operations, capital projects, and transition to zero-emission technologies. 13. Funding strategies to reduce the personal cost of transportation, especially cargo and electric-assist bicycles and their supporting infrastructure. 14. Improvements of state and federal standards guiding application of street design and traffic control devices to allow more flexibility for local agencies to prioritize safety, particularly for vulnerable road users, and including locations that interface with the state highway system, consistent with calls to action from groups like the National Transportation Safety Board, NACTO and others. Page 68 of 251 LEGISLATIVE ACTION PLATFORM Page 23 15. Opportunities for improved coordination between state and local governments to advance common goals and priorities, such as opportunities for partnership projects between the City and Caltrans to advance safety and multimodal improvements to state highway facilities within and in the vicinity of the City. 16. Legislation for a Bike Safety Stop, in alignment with the National Association of City Transportation Officials (NACTO), that would authorize a person bicycling to treat a stop sign like a yield sign, giving right-of-way to other traffic at an intersection before proceeding safely through, but without the requirement to come to a full stop. 17. Consideration of increased funding and options for safe bike and pedestrian crossing of railroad tracks, including bridges, underpasses and controlled at-grade crossings. 18. Legislation to improve safety features for new motor vehicles, including requirements for side guards on certain trucks and trailers and/or addition of devices that would limit the ability of drivers to unreasonably exceed posted speed limits. 19. The San Luis Obispo Council of Governments' legislative advocacy activities, where consistent with the City's adopted policies, platform, and public policy and project objectives. 20. Advocacy for the County of San Luis Obispo to build complete streets when building new roads, and to upgrade existing roadways to be complete streets. 21. Legislation and regulatory efforts that give cities the option to consider automated speed enforcement as a potential tool for improving traffic safety and reducing speeding-related accidents, especially in high-risk areas such as school zones. Oppose: 22. Proposed changes to statistical methodologies such as Metropolitan Statistical Areas that have the potential to reduce funding for transportation improvements in small and mid-sized metropolitan areas and/or reduce formula allocations to San Luis Obispo County. 23. Any reallocation or redirection of transportation funding, particularly Cap-and-Invest, SB 125, TIRCP, and State Transit Assistance funds; that would reduce funding available for transit operations or zero- emission fleet transition. The proposed diversion of any funding source for transportation that reduces amounts designated for transit operations. 24. Legislation that would modify current restrictions to allow longer or heavier tractor-trailers to use public roadways, which would increase roadway wear and tear and degrade safety for other road users. Page 69 of 251 LEGISLATIVE ACTION PLATFORM Page 24 Utilities Support: 1. Clean water and drinking water funding programs. 2. Recycling, waste diversion, and zero waste programs and enhancing local government's ability to comply with solid waste reduction requirements (includes building of recycling infrastructure and organics / biosolids composting facilities). 3. Measures that require the State Water Resources Control Board and Regional Water Quality Control Boards establish a process to evaluate, in advance of adoption, the costs of compliance for pending and future regulatory actions on National Pollutant Discharge Elimination System (NPDES) permittees. 4. Legislation that requires the State's environmental agencies to conduct peer review of proposed regulations to ensure that the proposal is based on sound science. 5. The elimination of mandatory minimum penalties for violations of NPDES Requirements and returning discretionary control to the Regional Water Quality Control Board Executive Officers (i.e., California Water Code Section 13385[h]). 6. Measures to ensure reasonableness in the administration of NPDES permit governing City operations, including pursuing a municipal representative on the Regional Water Quality Control Board. 7. The safe, responsible, and cost-effective reuse of Exceptional Quality or better biosolids. 8. County development of a local ordinance providing additional local oversight and regulation of the land application of Pollutant Concentration (PC) or better biosolids. 9. The Integrated Waste Management Authority’s (IWMA) legislative platform, where consistent with the City’s adopted policies, platforms, and public policy and project objectives. 10. Legislation allowing cities/agencies to establish fees for the costs of operating mandated water quality programs such as, but not limited to, municipal storm water and total maximum daily loading. 11. Federal legislative action and funding to transfer the property ownership of Salinas Reservoir from Army Corps of Engineers Military Project to Army Corps of Engineers Civil Works Project. 12. Federal and state funding that would allow for transfer of Salinas Reservoir from the Army Corps of Engineers to the County or City of San Luis Obispo. 13. Water conservation and water use efficiency best management practices. Page 70 of 251 LEGISLATIVE ACTION PLATFORM Page 25 14. Amendments to the Urban Water Management Planning Act to recognize past investment in water conservation and the City's ability to comply with SBx7-7 (2009) and other water conservation regulations. 15. The expansion of recycled water production and use, including potable reuse. 16. The use of Public Goods Funds for the development and installation of energy saving or green energy generating projects to benefit local government. 17. The protection of water resources, including protection of source waters from invasive species. 18. Regional water resiliency initiatives. 19. Requirements that development outside City jurisdiction have adequate water supplies to support development activities and intensities and does not indirectly impose water service obligations to adjacent municipal water agencies. 20. Streamlined water rights amendment processes for minor water rights permit changes. 21. Federal and statewide funding of water infrastructure projects. 22. Amendments to stormwater regulatory requirements to reduce mandatory minimum fines and penalties and the recovery of private attorneys’ fees for technical non-compliance issues that do not result in adverse public health impacts or environmental harm. 23. Stormwater requirements that are related to specific issues and include reasonable implementation timeframes and funding. 24. Autonomy for management of individual Sustainable Groundwater Management Act designated basins within the county. 25. Funding for implementation of Groundwater Sustainability Plans including the San Luis Obispo/Edna Valley Basin. 26. Federal and state policies that require per- or polyfluoroalkyl substances (PFAS) source control and labelling by product manufacturers, producers, packagers, importers, suppliers, or distributors, or prohibit manufacturing of goods with PFAS. 27. Federal and state funding to assist with identification and cleanup of per- or polyfluoroalkyl substances (PFAS) contamination in public source water supplies and aquifers. Page 71 of 251 LEGISLATIVE ACTION PLATFORM Page 26 28. Federal or state legislation to protect and limit the liability of passive receivers such as public water and wastewater agencies facing the threat of either USEPA enforcement actions or third-party litigation from the decision to list PFAS as a hazardous substance. Oppose: 29. Measures reducing the city’s water security. 30. Legislation that requires recycled water to be included in water conservation regulations. 31. Mandatory consolidation of water systems. 32. Legislation that diminishes the City’s existing or potential water rights. 33. Legislation that inhibits the City's ability to collect water and sewer bills either through terminating service for non-payment or other reasonable means absent public health or safety emergencies. 34. Legislation that restricts water and sewer rates for certain customers to below the cost to provide service based on legitimate public interests such as affordable housing, senior housing, nonprofit public beneficial uses, and/or educational uses. 35. State or local per- or polyfluoroalkyl substances (PFAS) regulations that are more restrictive than federal regulations, with the exception of regulations that require per- or polyfluoroalkyl substances (PFAS) source control and labelling by product manufacturers, producers, packagers, importers, suppliers, or distributors, or prohibit manufacturing of goods with PFAS. Page 72 of 251 Item 6d Department: Public Works Cost Center: 9501 For Agenda of: 4/7/2026 Placement: Consent Estimated Time: N/A FROM: Aaron Floyd, Public Works & Utilities Director Prepared By: Allie Genard, Capital Projects Manager I SUBJECT: AUTHORIZATION TO AWARD 879 MORRO ROOF REPLACEMENT, SPECIFICATION NO. 2000075-10 RECOMMENDATION 1. Approve the project plans and special provisions for the 879 Morro Roof Replacement, Specification No. 2000075-10; and 2. Award a construction contract (Attachment A) to Ranger Roofing and Solar in the amount of $189,074.96 for the 879 Morro Roof Replacement, Specification No. 2000075-10; and, 3. Authorize staff to issue a Purchase Order to Brezden Pest Control Inc., following completion of the roofing project, at an amount within the remaining available project budget; and, 4. Authorize a transfer of $24,948.21 from Sewer Fund Completed Projects to support the roofing project and pest control work; and, 5. Authorize the City Engineer to approve Contract Change Orders, provided they remain within the approved project budget or any amended budget subsequently authorized by the City Manager. POLICY CONTEXT On May 17, 2022, Council approved a Purchasing Policy Update to the Financial Management Manual (Resolution No. 11328), requiring Council authorization for Public Works contracts exceeding $200,000. DISCUSSION Background The Utilities Department Administration building roof at 879 Morro Street was last replaced in 2001 as part of a Tenant Improvement (TI) and renovation project. Since then, the roofing system has exceeded its useful life and developed multiple leaks, which have been temporarily addressed through ongoing maintenance. A full roof replacement is now required. Staff have worked with an architectural consultant team to prepare project plans Page 73 of 251 Item 6d and specifications for construction. In addition to the roofing system, staff observed termite damage in the rafters supporting the roof. After the roofing project is complete, staff will coordinate a termite remediation project (Attachment B). The 879 Morro Roof Replacement Project (Project), Specification No. 2000075 -10, was previously bid in the summer of 2025, with bids opened on July 17, 2025. Three bids were received and all were deemed non-responsive; therefore, the project was not awarded. The Project was re-advertised, with bids opened on February 12, 2026. Two bids were received from Ranger Roofing and Solar and Southland Roofing Inc. The bid results are listed below: Contractor Bid Total Engineer’s Estimate $ 225,000.00 1 Ranger Roofing and Solar $ 189,074.96 2 Southland Roofing Inc. $ 194,380.00 Ranger Roofing and Solar (Ranger) provided the lowest responsive bid in the amount of $189,074.96. The contractor’s references, license, and registration with the Department of Industrial Relations have been verified. On February 13, 2026, staff received a bid protest letter from Southland Roofing Inc., the 2nd low bidder (Attachment C). The letter alleges that Ranger is not certified to install Garland roofing products, which are specified in the project’s special provisions , but may be substituted with an approved equal. Staff forwarded the bid protest letter to the low bidder, Ranger, on February 20, 2026. Ranger responded with a letter on February 23, 2026, stating that the project plans and specifications list Versico products as the basis of design (Attachment D). Additionally, Ranger stated that they are certified to install Versico roofing systems, as required in the project’s special provisions. Staff determined that Southland Roofing Inc.’s bid protest was invalid , because it did not satisfy the procedural requirements for submitting a protest as set forth in the bid package. Specifically, the protest did not reference the specific portions of the Contract Documents upon which the protest was based. Additionally, staff determined that the bid protest was without merit, as the special provisions do not require the contractor to use Garland roofing products or be a certified Garland installer. On March 5, 2026, staff notified Southland Roofing Inc. that their bid protest had been deemed invalid. Staff is recommending that the project be awarded to Ranger Roofing and Solar. A 25% construction contingency is recommended due to the potential for concealed conditions commonly encountered during roofing replacements on older buildings. These include dry rot, deteriorated substrate materials, and structural repairs that may not be visible until the existing roof is removed. Project plans and special provisions are ready for construction, and the agreement with Ranger Roofing and Solar has been drafted (Attachment A). Page 74 of 251 Item 6d Previous Council or Advisory Body Action This project received funding allocations across the 2021-23, 2023-25, and 2025-27 Financial Plans, all of which were adopted by Council. Public Engagement Public input was solicited and considered during the development of each respective Financial Plan. CONCURRENCE This project has received concurrence from the Utilities Branch of the Public Works and Utilities Department, the Community Development Department, and the City Attorney’s Office. ENVIRONMENTAL REVIEW This project is categorically exempt from environmental review pursuant to sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction) of the CEQA Guidelines, as it is a maintenance and rehabilitation project. A Notice of Exemption has been filed through the Community Development Department. FISCAL IMPACT Budgeted: Yes Budget Year: 2025-27 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Project Balance Annual Ongoing Cost (2000075-10) Water Fund – 2000075-10, 10.01 $ 197,164.14 $ $ 197,164.14 $ - Sewer Fund – 2000075-10, 10.01 $ 131,324.14 $ $ 131,324.14 $ - Sewer Fund Completed Projects – 602.9501.71501 $ 1,182,406.95 $ 24,948.21 $ 24,948.21 $ - Total $ 1,510,895.23 $ 24,948.21 $ 353,436.49 $ - Page 75 of 251 Item 6d 879 Morro Roof Replacement, Specification No. 2000075-10 879 Morro - Roof 2000075-10, 10.01 Water Fund (601) 879 Morro - Roof 2000075-10, 10.01 Sewer Fund (602) Sewer Fund Completed Projects – 602.9501.71501 Project Total Construction $94,537.48 $94,537.48 $0 $189,074.96 Construction Contingency (25%) $23,634.37 $23,634.37 $0 $47,268.74 Total for Construction $118,171.85 $118,171.85 $0 $236,343.70 Construction Design Support $3,950.00 $3,950.00 $0 $7,900.00 Printing $500.00 $500.00 $0 $1,000.00 Termite Remediation $33,650.50 $8,702.29 $24,948.21 $67,301.00 Total Project Cost $156,272.35 $131,324.14 $24,948.21 $312,544.70 Total Available $197,164.14 $131,324.14 $24,948.21 $353,436.49 Remainder $40,891.79 $0 $0 $40,891.79 The project was initially identified in the 2021 -23 Financial Plan, where $15,000 was allocated for design services, split between the Water and Sewer Funds. The 2023-25 Financial Plan allocated an additional $100,000 for the construction phase. The 2024-25 Supplemental Budget allocated an additional $130,000 to support the construction phase , split between the Water and Sewer Funds. The 2025-27 Financial Plan allocated an additional $75,000 to accommodate construction cost escalation, split between the Water and Sewer Funds. As of February 13, 2026, there is currently a balance of $328,488.28 in the project account. The total estimated project cost is $312,544.70. Funding for the project will be split evenly between the Water and Sewer Funds, which can be accomplished by transferring $24,948.21 from the Sewer Completed Projects Fund into the project account to contribute toward termite remediation. The project account has sufficient funds among the Water Fund, Sewer Fund, and Sewer Completed Projects Fund to award the lowest responsive bid, complete construction, and hire a pest control company to perform termite remediation with $40,891.79 in remaining budget from the Water Fund . Page 76 of 251 Item 6d ALTERNATIVES Reject all bids and readvertise the project. The estimated project cost is within available project budget. Re-advertising the project would result in cost escalation, which could require the need for additional funding. Additionally, there is a small windo w during the dry season when Utilities staff can reasonably be relocated during construction (August 10, 2026 – September 11, 2026). Should this window be missed in 2026, construction will not be able to occur until spring of 2027 at the earliest, which wo uld likely result in further cost increases. ATTACHMENTS A - Draft Contract, Specification No. 2000075-10 B - Termite Abatement Estimate - Brezden Pest Control Inc C - Bid Protest Letter - Southland Roofing Inc D - Bid Protest Response Letter - Ranger Roofing and Solar Page 77 of 251 Page 78 of 251 APPENDIX 0 AGREEMENT THIS AGREEMENT, made on ______________________, by and between the City of San Luis Obispo, a municipal corporation and charter city, San Luis Obispo County, California (hereinafter called the City) and RANGER ROOFING AND SOLAR (hereinafter called the Contractor). WITNESSETH: That the City and the Contractor for the consideration stated herein agree as follows: ARTICLE 1, SCOPE OF WORK: The Contractor shall perform everything required to be performed, shall provide and furnish all of the labor, materials, necessary tools, expendable equipment, and all utility and transportation services required to complete all the work of construction of 879 MORRO ROOF REPLACEMENT, SPEC NO. 2000075-10 in strict compliance with the plans and specifications therefor, including any and all Addenda, adopted by the City, in strict compliance with the Contract Documents hereinafter enumerated. It is agreed that said labor, materials, tools, equipment, and services shall be furnished and said work performed and completed under the direction and supervision and subject to the approval of the City or its authorized representatives. ARTICLE II, CONTRACT PRICE: The City shall pay the Contractor as full consideration for the faithful performance of this Contract, subject to any additions or deductions as provided in the Contract Documents, the contract prices as follows: Item Item Unit of Estimated Item Price Total No. SS(1) Description Measure Quantity (in figures) (in figures) 1 14 Comply w/ applicable OSHA provisions throughout duration of the project. LS 1 ----- $2,200.00 2 99 Disconnect / Unmount MEP conduits, ducts, equipment from roof surface, store on site for reinstallation, and dispose of debris. LS 1 ----- $2,750.00 3 14 Disconnect, unmount, remove, and dispose existing photovoltaic array (48 panels), incl. all components and substructure. LS 1 ----- $10,142.72 4 99 Remove and dispose existing multi-layer bituminous roofing. SQFT 2,000 $4.15 $8,300.00 5* 99 Partially remove, replace, and dispose water-damaged plywood per plan S -1 Allowance. SQFT 200 $14.00 $2,800.00 Page 79 of 251 APPENDIX 1 Item Item Unit of Estimated Item Price Total No. SS(1) Description Measure Quantity (in figures) (in figures) 6* 99 Partially remove, replace, and dispose water-damaged roof 2x8 rafters per plan S-1 Allowance. LF 50 $42.00 $2,100.00 7 99 Remove and dispose existing polycarbonate glazing and gaskets, clean and store aluminum glass stop profiles on site for reinstall. SQFT 180 $7.78 $1,400.40 8 99 Prepare surface for, deliver and install new roofing system incl. all materials SQFT 2,000 $39.49 $78,980.00 9 99 Install new polycarbonate glazing and gaskets in existing skylight structure. SQFT 180 $54.44 $9,799.20 10 99 Deliver and install new scuppers and connect to existing downspouts EA 4 $1,567.06 $6,268.24 11 99 Reinstall/attach/connect MEP conduits, ducts, equipment. LS 1 ----- $3,500.00 12 99 Replace exhaust fan per plan M-1 LS 1 ----- $5,200.00 13 99 Install parapet roof membrane, flashing, and metal coping detail LF 180 $152.78 $27,500.40 14 99 Deliver and install ladder cage EA 1 ----- $7,434.00 15 14 Health and Safety Plan (HSP) LS 1 ----- $2,000.00 16 14 Asbestos Removal by California Certified Asbestos Abater LS 1 ----- $18,700.00 (1) refers to section in the Standard Specifications, with modifications in the Special Provisions, that describe required work. * Bid item exempt from Section 9-1.06B & 9-1.06C of the Standard Specifications. The unit price will not be adjusted regardless of the final bid item quantity. BID TOTAL: $189,074.96 Payments are to be made to the Contractor in compliance with and subject to the provisions embodied in the documents made a part of this Contract. If any dispute arises regarding the work or contract price, Contractor must follow the procedures in the contract documents, including the requirements on change order requests and dispute resolution. ARTICLE III, COMPONENT PARTS OF THIS CONTRACT: The Contract consists of the following documents, all of which are as fully a part thereof as if herein set out in full, and if not attached, as if hereto attached: 1. Notice to Bidders and Information for Bidders 2. Standard Specifications and Engineering Standards 3. Special Provisions, any Addenda, Plans and Contract Change Orders 4. Caltrans Standard Specifications and Standard Plans 2024 5. Accepted Bid and Bid Bond Page 80 of 251 APPENDIX 2 6. List of Subcontractors 7. Labor Code Section 1725.5 Statements 8. Bidder Acknowledgements 9. Qualifications 10. Non-Collusion Declaration 11. Agreement and Bonds 12. Insurance Requirements and Forms ARTICLE IV INDEMNIFICATION: The Contractor shall indemnify, defend with legal counsel approved by City, and hold harmless City, its officers, officials, employees and volunteers from and against all liability, loss, damage, expense, cost (including without limitation reasonable legal counsel fees, expert fees and all other costs and fees of litigation) of every nature arising out of or in connection with the acts or omissions of Contractor, its employees, subcontractors, representatives, or agents, in bidding or performing the work or in failing to comply with any obligation of Contractor under this Agreement, except such loss or damage which is caused by the sole or active negligence or willful misconduct of the City. Should conflict of interest principles preclude a single legal counsel from representing both the City and the Contractor, or should the City otherwise find the Contractor’s legal counsel unacceptable, then the Contractor shall reimburse the City its costs of defense, including without limitation reasonable legal counsel fees, expert fees and all other costs and fees of litigation. The Contractor shall promptly pay any final judgment rendered against the City (and its officers, officials, employees and volunteers) with respect to claims determined by a trier of fact to have been the result of the Contractor’s acts or omissions in bidding or performing the work or in failing to comply with any obligation of Contractor under this Agreement. It is expressly understood and agreed that the foregoing provisions are intended to be as broad and inclusive as is permitted by the law of the State of California and will survive termination of this Agreement. The Contractor obligations under this section apply regardless of whether such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by an Indemnitee. However, without affecting the rights of the City under any provision of this agreement, the Contractor shall not be required to indemnify and hold harmless the City for liability attributable to the active negligence of City, provided such active negligence is determined by agreement between the parties or by the findings of a court of competent jurisdiction. In instances where the City is shown to have been actively negligent and where the City’s active negligence accounts for only a percentage of the liability involved, the obligation of the Contractor will be for that entire portion or percentage of liability not attributable to the active negligence of the City. ARTICLE V: It is further expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and the bid of said Contractor, then this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said bid conflicting herewith. Page 81 of 251 APPENDIX 3 ARTICLE VI LABOR CODE COMPLIANCE: This Agreement is subject to all applicable requirements of Chapter 1 of Part 7 of Division 2 of the Labor Code, including requirements pertaining to wages, working hours and workers’ compensation insurance, as further specified in the contract documents. The project is subject to the prevailing wage requirements applicable to the locality in which the work is to be performed for each craft, classification or type of worker needed to perform the work, including employer payments for health and welfare, pension, vacation, apprenticeship and similar purposes. Copies of these prevailing rates are on file with the City and are available online at http://www.dir.ca.gov/DLSR. City may not enter into the Agreement with a bidder without proof that the bidder and its subcontractors are registered with the DIR to perform public work pursuant to Labor Code section 1725.5, subject to limited legal exceptions. Pursuant to Labor Code § 1861, by signing this Agreement, Contractor certifies as follows: “I am aware of the provisions of Labor Code § 3700 which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work on this contract.” Page 82 of 251 APPENDIX 4 IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands this year and date first above written. CITY OF SAN LUIS OBISPO A Municipal Corporation __________________________________ Whitney McDonald, City Manager APPROVED AS TO FORM CONTRACTOR: Ranger Roofing and Solar ________________________________ By:________________________________ J. Christine Dietrick City Attorney Chad A. Kozak Its: CEO (2nd signature required if Corporation): By:________________________________ Levy Benitez Its: Project Manager Page 83 of 251 Page 84 of 251 WORK ORDER AGREEMENT Building No.Street City Zip Date 879 Morro St San Luis Obispo 93401-2710 10/11/24 Brezden Pest Control Inc. 3261 S Higuera St Suite 100,San Luis Obispo,CA 93401-2021 Tel 805-544-9446 Fax 805-544-2807 Registration #:PR30 A LICENSED PEST CONTROL OPERATOR IS AN EXPERT IN HIS/HER FIELD. ANY QUESTIONS RELATIVE TO THIS REPORT SHOULD BE REFERRED TO HIM/HER. Report #:13437 Ordered by:Property Owner and Party of Interest:Completion sent to: Utilities Offices 879 Morro St San Luis Obispo,CA 93401 City of San Luis Obispo 990 Palm St San Luis Obispo,CA 93401 City of San Luis Obispo 990 Palm St San Luis Obispo,CA 93401 COST FOR WORK RECOMMENDED FOR TERMITE REPORT #:13437 SECTION I SECTION II SECTION NOT DETERMINED OR FURTHER INSPECTION RECOMMENDED 2A $67,301.00 Total Section I: $67,301.00 I HEREBY AUTHORIZE BREZDEN PEST CONTROL INC.TO PERFORM THE FOLLOWING ITEMS: TERMS: DOES ANY PERSON LIVING OR WORKING AT THIS ADDRESS HAVE ANY KNOWN CHEMICAL SENSITIVITES OR ALLERGIES? YES /NO HAVE YOU OR ANYONE ELSE LIVING OR WORKING AT THIS ADDRESS EVER MADE ANY PESTICIDE APPLICATIONS TO THE INTERIOR OR EXTERIOR OF THE STRUCTURE? YES /NO AUTHORIZATION CONDITIONS: BY OWNER/AGENT/BUYER Brezden Pest Control Inc. PHONE: 805-781-7371 By: James Byon SIGNATURE: Signature: Lic.#:FR51027 NOTE:WORK WILL NOT COMMENCE UNTIL DELIVERY OF YOUR WOOD DESTROYING PESTS AND ORGANISMS REPORT. FOR DETAILS REGARDING THE ABOVE RECOMMENDATIONS PLEASE REFER TO YOUR INSPECTION REPORT. Page 85 of 251 Page 86 of 251 1 Date: 02/13/2026 From: Southland Roofing, Inc. 9127 S Western Avenue, Los Angeles, CA, 90047 February 13, 2026 To: City of San Luis Obispo Public Works and Utilities Department Attn: Project Manager - 919 Palm Street San Luis Obispo, CA 93401 Re: Bid Protest – Apparent Lowest Bidder, Specification No. 2000075-10 (879 Morro Roof Replacement) Dear Sir or Madam, Pursuant to the Notice to Bidders and the bid protest procedures set forth in the Contract Documents, this letter serves as a formal protest of the apparent lowest bidder for the above- referenced project. This protest is submitted timely within the required protest period and is made by an actual bidder on this project, in accordance with the City’s stated protest requirements. The basis of this protest is that the apparent lowest bidder is not certified or approved to install Garland roofing products, which are specified for this project, and failed to submit any substitution request or “or-equal” request prior to the bid date, as required by the Contract Documents. As a result, the bidder’s proposal does not comply with the specified material and manufacturer requirements and is therefore non-responsive. The Contract Documents require strict compliance with the specified roofing system and manufacturer requirements. Any proposed deviation or substitution must be formally requested and approved prior to bid submission. Allowing a bidder who is neither certified nor approved by the specified manufacturer, and who did not submit a timely substitution request, would be inconsistent with the bidding requirements and would undermine the integrity of the competitive bidding process. Page 87 of 251 2 Accordingly, the undersigned respectfully requests that the City determine the apparent lowest bidder to be non-responsive, reject that bid, and proceed with award to the lowest responsive and responsible bidder who fully complies with the Contract Documents, including manufacturer certification and substitution requirements. Supporting documentation regarding Garland manufacturer’s certification requirements and the absence of a pre-bid substitution request is available upon request and can be provided to the City for review. Thank you for your attention to this matter. Please confirm receipt of this protest and advise of the City’s determination in accordance with the protest procedures outlined in the Contract Documents. Sincerely, Pier Pjerin Prenga | Principal Page 88 of 251 February 23, 2026 Allie Genard Capital Projects Manager City of San Luis Obispo, Public Works 919 Palm Street San Luis Obispo, CA 93401 RE: Bid Protest Response – 879 Morro Roof Replacement (Spec. No. 2000075-10) Ms. Genard, Please see responses to the bid protest claims on the 879 Morro roof replacement project in San Luis Obispo CA. PROTEST CLAIM 1 – Ranger roofing is not an approved applicator with the specified manufacture published by the project architect. RESPONSE - Specification section 071354 calls out in the section 1.6 -C that the bidder be certified with Versico Roofing systems. Attached below is a copy of that section and a copy of Ranger Roofings Versico Roofing Systems certified applicator letter. 1 Los Angeles - Inland Empire - SoCal (619) 748-9663 chad@rangerroofingandsolar.com License #1107898 C-39, C-46 Page 89 of 251 PROTEST CLAIM 2 – Versico was not a specified product in the project specification. RESPONSE - Specification section 071354 in Appendix B section 2.1 – A specifically calls out Versico Roofing Systems Versiflex 80 mil PVC as the basis of design for this project. This is the product and manufacture Ranger Roofing utilized in its project bid. There are contradicting products listed below that are not manufactured by Versico; however, the published project drawings only show the use of the appropriate versico products as can be seen in the highlighted project drawings below. Ranger Roofing is confident that the submitted bid meets the project criteria published by the city and their architect and is fully compliant with the bid process. 2 Los Angeles - Inland Empire - SoCal (619) 748-9663 chad@rangerroofingandsolar.com License #1107898 C-39, C-46 Page 90 of 251 3 Los Angeles - Inland Empire - SoCal (619) 748-9663 chad@rangerroofingandsolar.com License #1107898 C-39, C-46 Page 91 of 251 4 Los Angeles - Inland Empire - SoCal (619) 748-9663 chad@rangerroofingandsolar.com License #1107898 C-39, C-46 Page 92 of 251 Ranger Roofing and Solar bid this project in strict accordance with the project documents provided by the City. We believe the protest is without merit as our submission fulfills all technical and experience requirements set forth in the Special Provisions. Thank you for the opportunity to clarify our position. Sincerely, Chad A. Kozak CEO, Ranger Roofing and Solar 5 Los Angeles - Inland Empire - SoCal (619) 748-9663 chad@rangerroofingandsolar.com License #1107898 C-39, C-46 Page 93 of 251 Page 94 of 251 Item 7a Department: Community Development Cost Center: 4006 For Agenda of: 4/7/2025 Placement: Public Hearing Estimated Time: 30 minutes FROM: Timmi Tway, Community Development Director Prepared By: Ethan Estrada, Assistant Planner SUBJECT: 2025 GENERAL PLAN ANNUAL REPORT RECOMMENDATION As recommended by the Planning Commission, receive and file the 2025 General Plan Annual Report. REPORT-IN-BRIEF The 2025 General Plan Annual Report (Attachment A) is required by state law to be submitted to state agencies in April each year and provides an opportunity to review the status of the City’s implementation of General Plan programs. The report includes highlights of the City’s prioritized programs to support housing production and other building trends, progress in homelessness response, and policy initiatives, as well as public safety services and open space protections. POLICY CONTEXT According to the General Plan Land Use Element Policy 11.3, the City shall prepare an annual report on the status of the General Plan, which is to include the following items: A. A summary of private development activity and a brief analysis of how it helped achieve General Plan goals; B. A summary of major public projects and a brief analysis of how they contributed to achieving General Plan goals; C. An overview of programs, and recommendations on any new approaches that may be necessary; D. A status report for each General Plan program scheduled to be worked on during that year, including discussion of whether that program realization is progressing on schedule, and recommendations for how it could better be kept on schedule if it is falling behind schedule; E. A status report on how the City is progressing with implementing its open space preservation policies and programs; and Page 95 of 251 Item 7a F. Updated population or other information deemed important for the Plan. In addition, all jurisdictions are required to provide the Governor’s Office of Land Use and Climate Innovation (LCI) and the Department of Housing and Community Development (HCD) with separate General Plan Annual Reports in April, per Government Code Sections 65400 and 65700. The annual report shall include the progress in meeting the City’s share of regional housing need allocation (RHNA) for above moderate income, moderate income, lower income, very low income and extremely low-income households and local efforts to remove governmental constraints to the provision of housing. DISCUSSION Background California Government Code Section 65400 requires cities to submit an annual report on the status of their General Plan and progress in its implementation to their legislative body (City Council), the Governor’s Office of Land Use and Climate Innovation, and the California Department of Housing and Community Development. Prior to submittal to the state, the annual report must be presented to the City Council for review and acceptance. Previous General Plan Annual Reports can be found at this website. The Housing Element portion of the annual report shall include the city’s RHNA progress described above and housing production applications, completions, and demolitions, as well as measures the City takes to remove housing barriers. The General Plan Annual Report (GPAR) is strictly a reporting document and does not create or modify any City goals, policies or programs found within the General Plan. Report Organization The General Plan is a comprehensive statement of the City’s goals and guides the use and protection of various resources to achieve them. It consists of numerous policies covering a range of City activities, including the creation and/or maintenance of public programs, guidelines on land use and development standards, and more. The GPAR is an opportunity for the City to review the Plan’s progress in meeting its goals. It also provides an opportunity to review the effectiveness of the programs identified by the Plan, and to determine if they are still relevant to City goals and policies. Additionally, assessment of the implementation of the General Plan informs the City Council about potential new programs and projects that might be initiated as the City develops a new financial plan. The 2025 GPAR is organized around the following key implementation areas:  Planning and Building Activity  Residential Growth  Non-Residential Growth  Housing Element Program Implementation  Regional Housing Needs Allocation (RHNA) Progress  Municipal Code Updates  Climate Action Plan  Economic Development  Policy Initiatives  Water Supply  Transportation & Circulation  Safety Services Page 96 of 251 Item 7a  Homelessness Solutions  Coordination with Other Agencies  Area Plan and Specific Plan Development  Neighborhood Wellness  Conservation & Open Space  Parks & Recreation Report Highlights Highlights from the GPAR are identified in this section of the report. More information on these topics, and others, is available in the GPAR (Attachment A). Development Activity and Trends (Pages 3 – 7) Residential Development The 2025 GPAR presents a variety of data collected by the City to give insight into development activity and trends over several years. Based on the Community Development Department’s (CDD’s) residential building permit data, the City issued permits for 83 single-family residences and 11 multifamily units in 2025, for a total of 94 new residential units. This represents a decrease compared to 353 units in 2024 and 284 units in 2023. A total of 104 accessory dwelling units were permitted in 2025, an increase compared to 96 in 2024 and 86 in 2023. California cities and counties are required to develop and implement programs designed to meet a share of their region’s housing needs for all income groups as part of their Housing Element development and implementation. Each jurisdiction’s Housing Element includes plans, policies, and standards to help meet housing needs within the planning period. The City planned for a total RHNA of 3,354 housing units in the 6th Cycle Housing Element (2019-2028). Table 7 of the GPAR, included below, illustrates the City’s progress towards 6th Cycle Quantified Objectives for RHNA. Of the 3,354 assigned housing units, 2,118 have been accounted for. The remaining 37% of housing units needed consist of 1,229 Below Market Rate units for extremely low, very low, low, and moderate -income levels, as the above-moderate allocation has already been met. These numbers do not represent the total number of housing units that have been added to the City’s housing stock. Table 7 - Progress Towards 6th Cycle Quantified Objectives, 2019-2028 Income Level (% of County Median Income) 6th Cycle RHNA Allocation Building Permitted Units Issued by Affordability Total Units by Income Level Total Units Remaining by Income Level Years 1 - 3 (2019-2021) Year 4 (2022) Year 5 (2023) Year 6 (2024) Year 7 of 10 (2025) Extremely Low Deed Restricted 825 14 36 0 123 0 173 500 Non-Deed Restricted 0 0 0 0 0 0 Very Low Deed Restricted 56 14 22 60 0 152 Page 97 of 251 Item 7a Non-Deed Restricted 0 0 0 0 0 0 Low Deed Restricted 520 42 21 5 15 0 83 211 Non-Deed Restricted 76 50 0 48 52 226 Moderate Deed Restricted 603 22 2 4 13 1 42 518 Non-Deed Restricted 0 0 43 0 0 43 Above Moderate - 1,406 1,411 439 293 190 145 2,478 0 Total Units 3,354 1,621 562 367 442 198 3,190 1,229 Land Use Element (LUE) Policy 1.11.2, related to residential growth, states that the City’s housing supply shall grow no faster that 1 percent per year, on average, based on established thresholds in Table 3 of the Land Use Element (LUE). Dwellings affordable to residents with extremely low, very low, low or moderate incomes, as defined by the Housing Element, new dwellings in the Downtown Core, and legally established accessory dwelling units are exempt. (SLOMC 17.144.020(D)) Each year, the City calculates a rolling average of housing units produced since 2015 (the year the Land Use and Circulation Element was adopted). In 2025, staff calculated the current average annual growth rate to be 1.00 percent per year since 2015. Table 5 – Residential Growth Rates, 2015-2025 Calendar Year Period New Units Average Annual Growth Rate Total Units in the City in 2025 LUE Estimated Units in 2025 (1% Growth) 2025 174* 1.00% 23,292* 23,560 2015 - 2025 3,588 *These totals exclude deed-restricted affordable units, ADUs, and new dwellings in the C-D Zone. The all- encompassing unit total in 2025 was 24,399 units It was reported in the 2024 General Plan Annual Report that the average annual growth rate had reached 1.03 percent per year since 2015, exc eeding this threshold. Staff assessed the implications of exceeding this threshold and found that the General Plan only called for the phasing of residential projects subject to these regulations, which is already done for current projects and future projects in annexation areas. Therefore, no action was required of the Council. Staff expects this growth rate to continue to decrease based on the decreasing number of residential permits being issued. For more information on the City’s growth management policies, please see Attachment B (City’s Growth Management Regulations – Status Update). Page 98 of 251 Item 7a Non-Residential Development LUE Policy 1.11.4 states that the City Council shall evaluate the increase in non - residential floor area over a five-year period and consider establishing limits on the rate of non-residential development if it exceeds five percent. In 2025, 176,673 square feet of non-residential floor area was added the City (120,000 square feet is attributed to the completion of the Marriot hotel project in the San Luis Ranch Specific Plan area), resulting in a net annual growth rate of 1.47 percent and a five-year growth rate of 3.15 percent. The City remains below the threshold to establish a non-residential growth limit. Homelessness Solutions (Pages 12 – 15) The City's 6th Cycle Housing Element includes policies and programs to reduce homelessness under Goal 1, Safety and Goal 8, Special Housing Needs. Homelessness Response remains a Major City Goal as part of the 2025-27 Financial Plan. In 2025, the City responded to 104 encampment fires and 941 medical incidents, removed 47 tons of trash, and posted, conducted outreach, and cleaned up 247 illegal encampments, with a total of $49,879 in funds spent on related cleanup and maintenance. Homelessness response activities in 2025 included regional collaboration to pursue state funding opportunities for the development of interim and permanent supportive housing, as well as partnerships with community and faith-based organizations to implement a Community Safe Parking Pilot Program model. Additionally, construction continued for the Beacon Studios project, which received approximately $400,000 in financial support from the City, and the Welcome Home Village project, in collaboration with the county, began construction in 2025. Other programs, including the Human Services Grant Program that awarded $150,000 in grants to qualifying non-profit organizations, Community Action Team, Mobile Crisis Unit, and collaborative efforts with Downtown SLO and CAPSLO who received $412,005 in funding for programs and operations at the 40 Prado Homeless Services Center, continued throughout 2025. For more up-to-date information on the various strategies implemented to address the needs of those at risk or experiencing homelessness, refer to the Co unty’s Regional Homeless Services Inventory Report recently presented to the City Council (pending minor updates). Safety Services (Pages 34 – 46) Climate Adaptation and Safety Element (CASE) Policy OP-7.1 requires adequate planning, organization, and resources for emergency preparedness and emergency response. The City achieved several accomplishments in 2025 to implement this policy. Fire Department The San Luis Obispo Fire Department (SLOFD) responded to 7,344 incidents from four strategically placed fire stations throughout the City in 2025. SLOFD’s Urban Search and Rescue (USAR) Team continued to play a vital role in protecting the lives of both visitors Page 99 of 251 Item 7a and residents, responding to 13 technical rescues and medical emergencies in open space areas in and around the City. SLOFD’s Mobile Crisis Unit (MCU) continued to respond to behavioral health incidents, handling 151 calls for service and conducting 2,234 field contacts, which resulted in 46 transports to alternate facilities. Working with stakeholders, the MCU Team also facilitated the reunification of 25 individuals with family, friends, or other out-of-area support networks. A draft update to the City’s Hazard Mitigation Plan (HMP) was completed in 2025 as part of the Multi-Jurisdictional Hazard Mitigation Plan update led by San Luis Obispo County. The HMP provides guidance on reducing the community’s vulnerability to natural hazards. Maintaining an updated HMP, as required by law, allows the City to apply for state and federal funding for proactive mitigation projects and to seek reimburs ement in the event of a disaster. The updated HMP will be presented to the City Council for adoption in June 2026. In 2025, the state released updated Fire Hazard Severity Zone maps identifying areas of elevated wildfire risk within the City. These maps serve as the regulatory basis for wildfire- related planning, development standards, and community risk-reduction efforts, including defensible space requirements for existing properties in the City. The updated state maps identified more than 2,800 parcels within the City as being in the Very-High Fire Hazard Severity Zone, whereas fewer than 50 parcels were identified within that zone under the previous maps. In addition, the 2025 CA Wildland -Urban Interface (WUI) Code was issued at the state level for adoption by local jurisdictions. The City Council formally adopted the WUI code on December 2, 2025. City staff is dedicated to proactive outreach regarding the new WUI code, including providing information at public counters, hosting community events and neighborhood meetings regarding wildfire preparedness, and creating dedicated webpages and outreach materials. Additionally, Fire and Community Development Department staff have been trained on the new regulations and are ensuring compliance with said regulations through the permitting process. Police Department In 2025, the San Luis Obispo Police Department (SLOPD) completed the second year of its five-year strategic plan. Accomplishments included completion of a department-wide staffing study; implementation of data-driven policing tools to reduce crime; establishment of an online recruitment portal; improvements to the Department’s physical fitness facility; development of a centralized resource guide for employee wellness information; updates to body-worn and in-car camera systems; enhancement of community communication strategies; and improvements to the Department’s training program. SLOPD’s Community Action Team (CAT) continued to identify problems and crime trends negatively impacting residents, business owners, and visitors. In 2025, CAT engaged with 798 individuals and made 164 treatment referrals to mental health and substance abuse Page 100 of 251 Item 7a services. Additionally, CAT facilitated two family reunifications for individuals experiencing homelessness. SLOPD’s Community Service Officer (CSO) program continued to deliver personalized services to residents, business owners, and visitors. In 2025, CSOs issued 443 citations for offenses such as public alcohol consumption, littering, smoking, and unregi stered vehicles, along with 189 cite-and-release arrests related to alcohol, drugs, theft, vehicle tows, and trespassing. Although not finalized, staff have observed a 22% decrease in Part 1 crime rates based on data from January 2025 to November 2025. Conservation and Open Space (Pages 48 – 51) The General Plan contains many goals, policies, and programs focused on open space protection. The policies apply to sensitive lands within the City’s urban reserve as well as land in the San Luis Obispo Greenbelt area that is protected for its biological, agricultural, aesthetic, and/or watershed protection value. These policies are further detailed in the Land Use and Circulation Element and the Conservation and Open Space Elements of the General Plan. Some highlights for 2025 include:  In May 2025, the City hosted a ribbon-cutting ceremony for Righetti Hill Open Space, officially opening the 51-acre property to the public. The site features more than two miles of sustainably built trails.  In December 2025, the City hosted a cultural burn at the Johnson Ranch Open Space conducted by the yak titʸu titʸu yak tiłhini Northern Chumash Tribe (ytt) with support from CalFIRE.  City staff began cataloging potential sites for new oak trees planting and initiated installation of oaks to expand the existing oak forest on several City open space properties, including Terrace Hill, Bowden Ranch, and Cerro San Luis. As of 2025, over 6,000 new trees have been planted in collaboration with various community partners, volunteers, and community members in both private and public spaces in support of the City’s 2035 goal of planting 10,000 new trees.  City staff partnered with the California Conservation Corps through the Greenhouse Gas Reduction Fund program to implement the Wildland -Urban Interface and Integrated Vegetation Management Plan for the Open Space Land of San Luis Obispo. This work included activities in Bowden Ranch, as well as major fuel reduction and cleanup efforts along the WUI. Previous Council or Advisory Body Action The Planning Commission reviewed the 2025 General Plan Annual Report on March 11, 2026. Staff responded to Planning Commission questions regarding housing production, homelessness response, and safety services. Staff received direction from the Planning Commission to verify the activity of the Neighborhood Officer Program operated by SLOPD following public comment received at the hearing. In review of this section of the annual report, it was found that information pertaining to activities conducted in 2025 was Page 101 of 251 Item 7a not provided and that any such activities, if conducted, could not be verified. Therefore, staff has removed this section from the annual report with plans to revisit this topic in the 2026 General Plan Annual Report if appropriate. The report was unanimously recommended to be forwarded to the City Council. Public Engagement The General Plan Annual Report is strictly a reporting document and does not create nor modify any goals or policies found within the General Plan. Once accepted by the City Council, the report will be available on the City’s website for public review and will be submitted to LCI and HCD as required. In addition, opportunity was provided for public comment before and during the Planning Commission meeting on March 11, 2026, and the public will have the opportunity to provide public comment before and during the City Council meeting. CONCURRENCE The Community Development Department prepared the General Plan Annual Report with significant input from other City departments. Administration (including Natural Resources, Economic Development, and Office of Sustainability divisions), Public Works and Utilities, Police, Fire, and Parks and Recreation Departments collaborated with the Community Development Department to complete the report. ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply because the General Plan Annual Report does not constitute a “Project” under CEQA Guidelines Section 15378. FISCAL IMPACT Budgeted: N/A Budget Year: N/A Funding Identified: N/A Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $N/A $ $ $ State Federal Fees Other: Total $ $ $ $ Page 102 of 251 Item 7a The acceptance of the 2025 General Plan Annual Report does not have a direct fiscal impact. However, it should be noted that it is estimated that the City’s population will grow to 57,200 at full build out of the General Plan, by 2035. This may precipitate the need for additional staff, capital projects and maintenance, and other resources to support a larger population and respond to an increasing diversity of needs. ALTERNATIVES 1. Council could decide not to accept and file the 2025 Ge neral Plan Annual Report. The report is required to be submitted to LCI and HCD by April 1, 2026, in accordance with Government Code Sections 65400 and 65700. Enforcement provisions per state law allow for a court to compel jurisdictions to comply with the requirement. 2. Council could decide to continue consideration of or direct modifications to the 2025 General Plan Annual Report. The report is required to be submitted to LCI and HCD by April 1, 2026, in accordance with Government Code Sections 65400 and 65700. Enforcement provisions per state law allow for a court to compel jurisdictions to comply with the requirement. ATTACHMENTS A – 2025 General Plan Annual Report B – City’s Growth Management Regulations – Status Update Page 103 of 251 Page 104 of 251 cannshel growt ann City of San Luis Obispo 2025 General Plan Annual Report Page 105 of 251 General Plan Annual Report 2025 ii Community Development Department Our Mission Statement Our mission is to serve all persons in a positive and courteous manner while helping ensure that San Luis Obispo continues to be a healthy, safe, attractive, and enjoyable place to live, work, or visit. We help plan the City’s form and character, support community values, preserve the environment, promote wise use of resources, and protect public health and safety. Our Service Philosophy The City of San Luis Obispo Community Development Department (CDD) staff provides high quality service when you need it. We will: • Listen to understand your needs; • Give clear, accurate and prompt answers to your questions; • Explain how you can achieve your goals under the City’s rules; • Help resolve problems in an open, objective manner; • Maintain high ethical standards; and • Work to improve our service. Page 106 of 251 General Plan Annual Report 2025 iii Acknowledgements City Council Erica A. Stewart, Mayor Emily Francis, Vice Mayor Michael R. Boswell Jan Marx Michelle Shoresman Planning Commission David Houghton, Chair Eric Tolle, Vice Chair Justin Cooley Sheryl Flores Robert Jorgensen Steven Kahn Juan Munoz-Morris City Manager Whitney McDonald, City Manager Project Management Team Project Lead: Ethan Estrada, Assistant Planner Delaney Ginn, Intern IV The 2025 General Plan Annual Report was prepared by the Community Development Department for review by the Planning Commission and acceptance by City Council. The Community Development Department’s Planning Division often takes the lead on staff work related to the General Plan. However, all City departments and advisory bodies are involved in General Plan implementation and have contributed to the 2025 General Plan Annual Report. Page 107 of 251 General Plan Annual Report 2025 iv Staff Contributors Aaron Floyd, Public Works and Utilities Director Adam Fukushima, Active Transportation Manager Alexander Fuchs, Mobility Services Business Manager Brian Amoroso, Deputy Chief - Administration Bryan Wheeler, Transportation Planner/Engineer III Chris Read, Sustainability Manager Christine Wallace, Neighborhood Outreach Manager Daisy Wiberg, Homelessness Response Manager David Amini, Senior Planner Devin Hyfield, Recreation Manager Donna King, Parking Program Manager Doug Carscaden, Recreation Supervisor Freddy Otte, City Biologist Greg Avakian, Parks and Recreation Director Ivana Gomez, Cannabis Business Coordinator Jennifer Rice, Public Works Deputy Director of Mobility Services Joe Little, Emergency Manager John Mezzapesa, Code Enforcement Supervisor Joshua Daniel, Fire Marshal Luke Schwartz, Transportation Manager Lucia Baesemann, Sustainability and Natural Resources Analyst Matt Horn, Major City Projects Manager Matheson Bliss, Hazardous Materials Coordinator Meghan Tolley, Recreation Manager Laura Fiedler, Economic Development & Tourism Manager Nicole Vert, Business Analyst Rick Scott, Police Chief Robert Hill, Sustainability & Natural Resources Official Sammy Fox, Deputy Fire Chief Sarah Cooper, Administrative Specialist – Homelessness Response Shawna Scott, Assistant Director of Utilities Timmi Tway, Community Development Director Randy Harris, Interim Fire Chief Tyler Corey, Deputy Community Development Director Vanessa Nichols, Permit Services Supervisor Page 108 of 251 General Plan Annual Report 2025 v Table of Contents Introduction .................................................................................................................................. 1 Background ................................................................................................................................... 2 Planning and Building Activity ....................................................................................................... 3 Residential Growth ....................................................................................................................... 5 Non-Residential Growth ................................................................................................................ 6 Housing Element Program Implementation .................................................................................. 7 Regional Housing Needs Allocation (RHNA) Progress ................................................................. 10 Homelessness Solutions .............................................................................................................. 12 Coordination with Other Agencies .............................................................................................. 15 Area Plan and Specific Plan Development ................................................................................... 16 Municipal Code Updates ............................................................................................................. 23 Climate Action Plan ..................................................................................................................... 24 Economic Development .............................................................................................................. 25 Policy Initiatives .......................................................................................................................... 26 Water Supply .............................................................................................................................. 27 Transportation and Circulation ................................................................................................... 29 Safety Services ............................................................................................................................ 34 Neighborhood Wellness .............................................................................................................. 46 Conservation and Open Space .................................................................................................... 48 Parks & Recreation ...................................................................................................................... 51 Conclusion ................................................................................................................................... 64 Page 109 of 251 General Plan Annual Report 2025 vi List of Figures Figure 1 - Total Planning Applications Received per Calendar Year, 2023-2025............................ 3 Figure 2 - Net Annual Growth Rates of Non-Residential Sectors, 2021-2025 ................................ 6 Figure 3 - Monthly Noise Party Calls for Service, 2025 ................................................................ 48 List of Tables Table 1 – Plan Check Applications Submitted, 2023-2025 ............................................................ 3 Table 2 – Building Permits Issued, 2023-2025 ............................................................................... 4 Table 3 – Valuation of Construction, 2023-2025 ........................................................................... 4 Table 4 – LUE Table 3, One Percent City Population Growth Projection ...................................... 5 Table 5 – Residential Growth Rates, 2015-2025 ........................................................................... 5 Table 6 – Highlights of Housing Element Program Implementation Progress, 2025 ..................... 7 Table 7 – Progress Towards 6th Cycle Quantified Objectives, 2019-2028 .................................... 10 Table 8 – Active BMR Housing Projects in the Pipeline .............................................................. 11 Table 9 – Margarita Area Development Status, 2025 ................................................................. 16 Table 10 – Orcutt Area Development Status, 2025 ..................................................................... 17 Table 11 – Airport Area Development Status, 2025 .................................................................... 18 Table 12 – Avila Area Development Status, 2025 ........................................................................ 20 Table 13 – San Luis Ranch Area Development Status, 2025 ........................................................ 23 Table 14 – City Water Resource Availability, 2025 ...................................................................... 27 Table 15 – Code Enforcement Statistics, 2021-2025 ................................................................... 47 Page 110 of 251 General Plan Annual Report 2025 1 Introduction General Plan Annual Report The General Plan is a comprehensive statement of the City’s goals and guides the use and protection of various resources to achieve them. It consists of numerous policies covering a range of activities, including the creation and/or maintenance of public programs, guidelines for land use and development standards, and more. The General Plan is adopted and amended by the City Council after considering recommendations from citizens, appointed advisory bodies, other agencies, and City staff. As required by California Government Code Section 65400 and Land Use Element Policy 11.3 of the General Plan, the City publishes an annual report on the status of its General Plan and efforts to implement its policies. This report provides an opportunity to gauge the efficacy of both the actions taken to implement these policies and the policies themselves. Land Use Element Policy 11.3 stipulates that the annual report shall include the following: A) A summary of private development activity and a brief analysis of how it helped achieve General Plan goals; B) A summary of major public projects and a brief analysis of how they contributed to achieving General Plan goals; C) An overview of programs, and recommendations on any new approaches that may be necessary; D) A status report for each General Plan program scheduled to be worked on during that year, including discussion of whether that program's realization is progressing on schedule, and recommendations for how it could better be kept on schedule if it is lagging; E) A status report on how the City is progressing with implementing its open space preservation policies and programs; F) Updated population or other information deemed important for the plan. Housing Element Annual Report The City completes a separate Housing Element Annual Report that is submitted concurrently with the General Plan Annual Report as required under Government Code Sections 65400 and 65700. The Housing Element Annual Report contains detailed information on issued and/or completed residential building permits from the previous year. This information can be accessed on the California Department of Housing and Community Development (HCD) website. Page 111 of 251 General Plan Annual Report 2025 2 Background State law requires each city and county to adopt a general plan that addresses seven topics, typically referred to as “elements.” Additional topics, or general plan elements, may be included. The law also requires general plans to be comprehensive, internally consistent, and provide a long-term perspective. The California Governor’s Office of Planning and Research (OPR) publishes General Plan Guidelines, which include the following basics: • Geographic Comprehensiveness: The general plan must cover all territory in the jurisdiction’s boundaries. • Regional Context: The general plan must consider regional plans for transportation, air quality and water quality, and must spell out measures needed to meet federal or state standards for the region. • Issue Comprehensiveness: General plans must address the jurisdiction’s physical development over the long term, but because the general plan is the most comprehensive expression of the general welfare, it should also recognize social and economic concerns. • Internal Consistency: All general plan elements must be internally consistent. Each element’s data, analyses, goals, policies, and programs must be consistent and complement one another. This includes consistency with area and specific plans. • Long-Term Perspective: The general plan must address the welfare of current & future generations, although the timeframes may vary between elements. The Housing Element, for instance, must be updated every five to eight years. State law requires that a city’s general plan be kept current. The City of San Luis Obispo does so through this annual review process, comprehensive updates, and amendments. Updates to entire elements are done as needed and include an evaluation of underlying conditions and community preferences. Amendments are typically smaller in scope and involve changing one part in a way that fits within the overall framework. Consideration of amendments is triggered by private applications or by direction from the City Council. Changes to the City of San Luis Obispo General Plan require hearings by the Planning Commission and by the City Council. The type of notice provided for the hearings depends on the type of proposed change but always includes a descriptive item on the meeting agenda, which is published in the newspaper. The City’s website and public access television channel provide additional information. City of San Luis Obispo General Plan Elements Land Use Update Adopted 2014 Circulation Update Adopted 2014 Housing 6th Cycle Adopted 2020, certified 2021 Conservation and Open Space Revised 2014 Climate Adaptation and Safety Revised 2023 Parks and Recreation Adopted 2021 Water and Wastewater Revised 2025 Noise Adopted 1996 Page 112 of 251 General Plan Annual Report 2025 3 Planning and Building Activity Application totals are tracked in real-time via Community Development’s EnerGov permitting system. This data can serve as an indicator of development trends in the City, assist with budget forecasting, and provide insight into how this development has contributed to achieving General Plan goals. Yearly Planning Applications Received Figure 1 indicates all planning applications received in 2023, 2024, and 2025. This may include use permits, development reviews, subdivisions, zoning amendments, environmental reviews, and administrative actions. In 2025, the total number of planning applications received was 222, a decrease of approximately 16% from the previous year. Building Permits and Plan Reviews Building permits are issued for various projects, ranging from the relatively simple projects (e.g., water heaters, window change-outs, reroofing) to more complex projects (e.g., additions and new buildings). Plan reviews are typically required for the more complex projects, as it is necessary to examine submitted plans for code compliance. Table 1 shows the number of plan check applications conducted by the Building Division over the past three years. In 2025, plan check applications were roughly the same as in 2024, with no major increase or decrease. Table 1 - Plan Check Applications Submitted, 2023-2025 2023 2024 2025 Plan Check Applications Submitted 1,479 1,049 1,079 Source: Community Development Department, 2025 Figure 1 – Total Planning Applications Received per Calendar Year, 2023-2025 (Community Development, 2025) Page 113 of 251 General Plan Annual Report 2025 4 Table 2 shows the number of building permits issued for residential and commercial projects, as well as the number of expected residential units associated with these permits, over the past three years. In 2025, the City continued to see a gradual decline in the number of permits issued and a significant decrease in the total number of residential units. This decline is primarily due to a reduction in new multifamily and mixed-use permit issuances compared to the previous two years, while a steady decline in single-family permits continues as well. Table 2 - Building Permits Issued, 2023-2025 BUILDING PERMITS ISSUED 2023 2024 2025 Permits Units Permits Units Permits Units New Single-Family 136 136 119 119 83 83 New Accessory Dwelling Units (ADUs)1 73 86 88 96 99 104 New Multifamily & New Mixed-Use 7 148 13 234 6 11 Demolitions2 20 -3 25 -7 16 -6 New Commercial 6 - 5 - 6 - Residential Additions / Alterations 236 - 216 - 257 - Commercial Additions / Alterations 122 - 108 - 83 - TOTAL 600 367 574 442 525 192 Source: Community Development Department, 2025 1ADU unit totals come from ADU permits and new single-family permits, 2includes units lost from demolitions Valuation of Construction Construction valuation is a useful indicator of the level of private investment in building construction in the City. Table 3 shows the annual construction valuation over the past three years and indicates that total valuation has declined compared to last year. This decline is largely due to a reduction in permits issued. However, valuation for single-family and commercial addition/alterations increased, despite fewer permits issued, likely reflecting rising construction costs. Table 3 - Valuation of Construction, 2023-2025 VALUATION OF CONSTRUCTION 2023 2024 2025 Single-Family $31,956,590 $16,693,300 $22,705,700 Multi-Family $26,914,510 $57,011,615 $1,400,000 Commercial $41,871,000 $27,075,000 $12,140,000 Residential Additions / Alterations $11,494,439 $23,631,968 $12,531,181 Commercial Additions / Alterations $26,659,996 $30,689,344 $48,720,537 Total Valuation $138,896,535 $155,101,227 $97,497,418 Source: Community Development Department, 2025 Page 114 of 251 General Plan Annual Report 2025 5 Residential Growth The Land Use Element policy related to residential growth (LUE . . ) states that the City’s housing supply shall grow no faster than one percent per year, on average, based on the thresholds shown in Table 4 (Table 3 in the Land Use Element). Affordable dwellings restricted to residents with extremely low, very low, low, or moderate-incomes, new dwellings in the Downtown Core (including the C-D zone), and legally established accessory dwelling units are exempt from these regulations (M.C. 17.144.020.D). Table 4 – LUE Table 3, One Percent City Population Growth Projection Year Approximate Maximum Number of Dwellings* Anticipated Number of People 2013 20,697 45,541 2015 21,113 46,456 2020 22,190 48,826 2025 23,322 51,317 2030 24,512 53,934 2035 25,762 56,686 Estimated urban reserve capacity: 57,200 Source: Land Use Element, City of San Luis Obispo General Plan, Table 3, page 1-37. *2013 population based on CA Department of Finance data. Projected numbers are based on a one percent annual growth rate. As shown in Table 5, the City has maintained an average annual residential growth rate of 1.00 percent in dwellings since 2015. In 2024, the average annual residential growth rate exceeded the one-percent threshold by 0.03 percent. Staff attributed this to the near completion of several specific plan areas and anticipated that, once completed, the City would see a decline in the number of residential units produced, resulting in the average residential growth rate falling back below the one-percent threshold within the next few years. As shown in Table 2 (Building Permits Issued, 2023-2025), residential permits have continued to decline and are expected to continue this trend. Table 5 – Residential Growth Rates, 2015-2025 Calendar Year Period New Units Average Annual Growth Rate Total Units in the City in 2025 LUE Estimated Units in 2025 (1% Growth) 2025 174* 1.00% 23,292* 23,560 2015 - 2025 3,588 Source: 2025 Building Permits Finaled, Community Development Department *These totals exclude deed-restricted affordable units, accessory dwelling units (ADUs), and new dwellings in the Downtown Commercial (C-D) Zone. The all-encompassing unit total in 2025 was 24,399 units. Page 115 of 251 General Plan Annual Report 2025 6 From 2015 to 2025, the City granted occupancy to 3,588 newly constructed residential units, accounting for the 47 units demolished during that period. Of the 3,588 units constructed between 2015 and 2025, 2,522 were subject to growth management limitations. Of the units exempt from the Growth Management Ordinance, 589 units were deed-restricted affordable housing units, 497 were accessory dwelling units or junior accessory dwelling units, and 60 were located within the Downtown Commercial (C-D) zone. As of 2025, there are 23,292 residential units subject to the Growth Management Ordinance within the City (as shown in Table 5), compared to the 23,322 units projected for 2025 in the 2015 LUE. The City updated the General Plan Land Use and Circulation Elements in 2015; however, some of the housing construction occurring today within the Orcutt Area and the Margarita Area was planned for in the previous General Plan. Due to a variety of factors, some of the development originally planned in the 1994 General Plan is only now under construction. LUE Policy 1.11.2 (Residential Growth Rate) states that approved specific plan areas may develop in accordance with the phasing schedule adopted by each specific plan, provided that the thresholds established by LUE Table 3 are not exceeded. Of the 3,588 units granted occupancy from 2015 to 2025, 1,971 were located within Specific Plan areas. Non-Residential Growth Based on final building permits, 176,673 square feet of net new non-residential floor area were added to the City in 2025, resulting in an annual growth rate of 1.47 percent. Most of this increase is due to the completion of the Marriott hotel project in the San Luis Ranch Specific Plan area, which contains just over 120,000 square feet of non-residential floor area. Figure 2 illustrates the net annual non-residential growth rate from 2019 to 2025. Non-residential growth includes office, services and manufacturing, retail, hotel, and institutional uses. Figure 2 - Net Annual Growth Rates of Non-Residential Sectors, 2019-2025 Source: Building Permits Finaled, Community Development Department, 2025 Note: Demolition of nonresidential square footage included in calculations. 0.44% 0.29% 0.56% 0.71% 0.35% 0.60% 1.47% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 1.40% 2019 2020 2021 2022 2023 2024 2025 Gr o w t h R a t e Page 116 of 251 General Plan Annual Report 2025 7 Land Use Element Policy 1.11.4 states that each year the Council will evaluate the actual increase in non-residential floor area over the preceding five years. The Council shall consider establishing limits on the rate of non-residential development if the increase in non-residential floor area for any five-year period exceeds five percent. The five-year net non-residential growth rate from 2021 through 2025 was 3.15 percent. Each year, the City Council has considered implementing limits on new non-residential floor area and has decided against establishing such limits. If limits are established, they would apply only to certain types of new commercial floor area, such as new offices or new retail establishments outside the downtown core. Since the five-year growth rate is less than five percent (3.15 percent), establishing limits on new non-residential floor area is not necessary at this time. Housing Element Program Implementation Since adopting the Housing Element in November 2020, City staff has implemented numerous Housing Element Programs in alignment with the Housing and Homelessness Major City Goals. Table 6 displays a list of programs that were implemented or started in 2025. Table 6 – Housing Element Program Implementation Progress, 2025 Safe Housing and Renter Protections Renter Protections Study Session: On October 28, 2025, City Council held a Study Session on Renter Protections. Staff presented Council with an overview of the various tenant protections in state law, as well as a variety of potential tools to improve conditions and protections for City renters, including a potential rental registry program. Healthy Housing and Innovation Cohort: In August 2024, the City was selected to join the National League of Cities Healthy Housing and Innovation Cohort to advance health outcomes and equity through improving healthy housing programs. The City’s team competed with other cities across the country, and won the second place prize of $20,000 in October of 2025 for the Green and Healthy Homes pilot program, which focused on creating a concierge service to provide energy upgrades to manufactured housing residents in the City. Program 1.6 Continue code enforcement to expedite the removal of illegal or unsafe dwellings, to eliminate hazardous site or property conditions, and resolve chronic building safety problems. Code Enforcement staff shall continue to provide property owners and tenants with information on how to rectify violations, who to contact in Code Enforcement for assistance, and other resources that may be pertinent to the citation. Policy 9.1 Residential developments should promote sustainability consistent with the Climate Action Plan (CAP) and California Building Energy Efficiency Standards (Title 24) in their design, placement, and functionality. Page 117 of 251 General Plan Annual Report 2025 8 Support Housing Solutions Maxine Lewis Apartments: In December 2025, the Maxine Lewis Grove Apartments opened, providing 40 new permanent supportive residential units. Tiburon Place: In July 2025, the Tiburon Place Apartments opened, providing 68 new permanent supportive housing units. Waterman Village: On December 11, 2024, the City Planning Commission approved the 20-unit below market rate tiny manufactured unit project on the site of the City-owned Rosa Butron historic adobe known as the Waterman Village. City Council upheld the Planning Commission’s approval of the project on March 5, 2025. The project is currently in the building permit submittal process. Housing Trust Fund Support: The City continues to provide $40,000 in operational support for the SLO County Housing Trust Fund’s efforts to provide below-market financing and technical assistance. Program 2.5 Continue to manage the Affordable Housing Fund so that the fund serves as a sustainable resource for supporting, at a minimum, 4 new affordable housing developments during the planning period. The fund shall serve as a source of both grant funding and below-market financing for affordable housing projects; and funds shall be used to support a wide variety of housing types at the following income levels: extremely low, very low, low, and moderate, but with a focus on production efficiency to maximize housing benefits for the City’s financial investment, and to support high-quality housing projects that would not be feasible without Affordable Housing Fund support Program 2.9 Assist with the issuance of tax-exempt bonds, tax credit financing, loan underwriting or other financial tools to help develop or preserve at least 20 affordable units annually through various programs. Program 2.11 In conjunction with the Housing Authority and other local housing agencies, continue to provide on-going technical assistance and education to tenants, property owners and the community at large on the need to preserve at-risk units as well as the available tools to help them do so. Program 2.14 Continue to support density bonuses for residential projects above the state density bonus allowance of 35% to promote the development of units for extremely low, very low, and low- income households. Policy 3.3 Encourage the construction, preservation, rehabilitation or expansion of residential hotels, group homes, integrated community apartments, and single-room occupancy dwellings. Policy 3.9 Work annually with non-profit organizations, faith-based organizations, or the Housing Authority of the City of San Luis Obispo to encourage rehabilitation of residential, commercial, or industrial buildings to expand extremely low, very-low, low-, or moderate income rental housing opportunities. Program 6.14 Continue to provide City resources, including $40,000 annually for operational support, to support the SLO County Housing Trust Fund’s efforts to provide below-market financing and technical assistance to affordable housing developers to construct or preserve five affordable housing units per year in the City of San Luis Obispo. Page 118 of 251 General Plan Annual Report 2025 9 Homelessness Response Assisting the homeless and those at risk of becoming homeless: The City’s Homelessness Response Team continued to implement the 2024-2026 Homelessness Response Strategic Plan, which was adopted by the City Council on June 18, 2024. The Strategic Plan outlines objectives and key tasks to prevent and address homelessness in alignment with the Countywide Plan to Address Homelessness. More details are included in the following section. Community Safe Parking Pilot Program: On January 22, 2025, the Planning Commission approved Director’s Action applications for five sites as part of the Community Action Partnership of San Luis Obispo’s (CAPSLO) Community Safe Parking Pilot Program. CAPSLO implemented the pilot program in September 2025, utilizing three City-owned sites and three sites operated by faith-based organizations, including one faith-based site that is located outside of City limits. The program provides overnight safe parking for registered participants from 7 p.m. to 7 a.m. The long-term objective of the pilot program is to develop a safe parking model that can be replicated countywide to expand safe parking services throughout the County. Transitional and supportive tiny-unit housing: The City, as a California Encampment Resolution Grant subrecipient, continued to work closely with the County of San Luis Obispo on the Welcome Home Village project. The project will provide 14 interim and 40 permanent supportive manufactured housing units located within the City at the County Health Agency campus. On July 1, 2025, the City’s subrecipient agreement went into effect, and the City’s outreach teams began collaborating with the County and the project’s service provider, Good Samaritan Shelter, on encampment outreach and engagement efforts. The Welcome Home Village is projected to open in early May 2026. Permanent supportive housing motel conversion: The City and People’s Self-Help Housing (PSHH) continued to implement the Beacon Studios project, which will provide 75 permanent supportive housing units. The project is funded through the California Department of Housing and Community Development, which awarded the City and PSHH a $19.4 million Homekey Round 3 grant to convert the Motel 6 North into permanent supportive housing. The Beacon Studios project is projected to open in July 2027. Program 1.7 Continue to support local and regional solutions to homelessness by funding supportive program services and housing solutions. Policy 8.10 Assist the homeless and those at risk of becoming homeless by supporting 40 Prado Homeless Services Center and other local service providers, as well as advocating for additional safe parking, interim housing, and permanent supportive housing opportunities Countywide. Source: Community Development Department, 2025 Page 119 of 251 General Plan Annual Report 2025 10 Regional Housing Needs Allocation (RHNA) Progress Quantified Objectives California cities and counties must develop programs to meet their share of regional housing needs across all income groups. The California Department of Housing and Community Development (HCD) determines each region’s housing need, and councils of governments allocate those units among their member jurisdictions through the Regional Housing Needs Allocation (RHNA) process. RHNA ensures that each jurisdiction plans for housing consistent with its physical and financial capacity. State housing law clarifies that these allocations are planning goals, not production quotas. The allocations are incorporated into each jurisdiction’s Housing Element to guide policies and standards during the planning period. The City’s 6th Cycle RHNA allocation is 3,354 housing units, with 10 years to meet the requirement. The City counts building permits issued between January 1, 2019, and December 31, 2028, toward this allocation. Beginning in 2020, HCD also authorized the City to count half of all newly issued accessory dwelling unit (ADU) permits toward the low-income category, based on a market study conducted by the County of San Luis Obispo. Table 7 summarizes the City’s progress toward meeting its RHNA allocation. Table 7 - Progress Towards 6th Cycle Quantified Objectives, 2019-2028 Income Level (% of County Median Income) 6th Cycle RHNA Allocation Building Permitted Units Issued by Affordability Total Units by Income Level Total Units Remaining by Income Level Years 1 - 3 (2019-2021) Year 4 (2022) Year 5 (2023) Year 6 (2024) Year 7 of 10 (2025) Extremely Low Deed Restricted 825 14 36 0 123 0 173 500 Non-Deed Restricted 0 0 0 0 0 0 Very Low Deed Restricted 56 14 22 60 0 152 Non-Deed Restricted 0 0 0 0 0 0 Low Deed Restricted 520 42 21 5 15 0 83 211 Non-Deed Restricted 76 50 0 48 52 226 Moderate Deed Restricted 603 22 2 4 13 1 42 518 Non-Deed Restricted 0 0 43 0 0 43 Above Moderate - 1,406 1,411 439 293 190 145 2,478 0 Total Units 3,354 1,621 562 367 442 198 3,190 1,229 Source: Community Development Department, Building Permits Issued, 2025 Page 120 of 251 General Plan Annual Report 2025 11 The City has met its total allocation for above moderate housing units. This leaves 1,229 affordable units needed to meet the 6th Cycle RHNA allocation by the end of the 2028 calendar year. Of the remaining allocation, 39 percent of the units must be reserved for very low and extremely low incomes, 21 percent for low incomes, and 40 percent for moderate incomes. Below Market Rate (BMR) Housing (Commonly Known as Affordable Housing) In , the City followed the State’s lead in rebranding the often misunderstood term "affordable housing" as “Below Market Rate Housing.” Below Market Rate (BMR) means that the affordability level of a dwelling unit is below the cost of a comparable market-rate unit and includes a deed restriction to ensure the unit remains affordable to extremely low, very low, low, or moderate- income households. The City continues to implement its Inclusionary Housing Ordinance and promote opportunities to collaborate with non-profit partners to develop BMR housing projects. In 2025, two 100 percent BMR housing projects were completed (Maxine Lewis and Tiburon Place), resulting in 108 new units reserved for lower-income households. The City continues to assist in completing the three BMR projects currently under construction (Bridge Street, Beacon Studios, and Monterey Senior/Family), which will result in 275 units for lower-income households. Staff is also working on several new projects to ensure more BMR housing is provided in the City. These projects are listed in Table 8 below and show that, as of 2025, 357 new BMR units are planned for lower-income households. Table 8 – Active BMR Housing Projects in the Pipeline Projects Address Dwellings Status Bridge Street Mixed- Use 279 Bridge Street 94 Phase 1 – Under Construction Phase 2 and 3 – Seeking Financing Monterey Mixed- Use (Senior Phase and Family Phase) 1422 and 1424 Monterey Streets 106 Senior Phase – Under Construction Family Phase – Permitted, beginning construction March 2026 Avila Ranch – Sendero Apartments 165 Cessna Court 60 Planning Entitlements – Approved Building Permits – Awaiting Submittal Waterman Village 466 Dana Street 22 Planning Entitlements – Approved Building Permits – Under Review Beacon Studios 1433 Calle Joaquin 75 Planning Entitlements – Approved Building Permit – Issued, Under Construction Total 357 Source: Community Development Department, 2025 Page 121 of 251 General Plan Annual Report 2025 12 Third Party Below Market Rate Administrator The City of San Luis Obispo’s BMR housing programs are expanding, and oversight and enforcement are increasing to ensure that local affordable housing programs comply with State law. In 2021, the City contracted with HouseKeys to serve as the City’s BMR Housing Administrator and to manage its growing Affordable Homeownership and Rental Programs. This work ensures that units are marketed to the community in a fair and equitable manner and occupied by eligible households. HouseKeys also provides community members with the knowledge and support needed to successfully access homeownership and rental housing opportunities. Through HouseKeys, the City has conducted 58 Opportunity Drawings for inclusionary housing units across the City, including 24 drawings for homeownership opportunities and 34 drawings for rental opportunities. Funding and Grant Programs for Housing 1. Community Development Block Grant Program (CDBG): The CDBG program provides annual funding for eligible affordable housing projects and support for the 40 Prado Homeless Services Center. Over the past decade, the CDBG Program has allocated over $3,710,000 towards affordable housing and $1,160,000 towards homeless services. Projects funded for the upcoming 2025 Program Year include funding for CAPSLO and People’s Self-Help Housing for homeless services and homelessness prevention, funding toward the Monterey Family Housing project by the Housing Authority of San Luis Obispo, and funds to further implement the 6th Cycle Housing Element. 2. Prohousing Incentive Program Funding: In 2024, the City received designation as a Prohousing jurisdiction, which provides incentives to cities and counties in the form of additional points or other preferences in the scoring of competitive housing, community development, and infrastructure programs. Subsequently, the City applied for and was awarded $750,000 from the Prohousing Incentive Program. In 2025, the City successfully disbursed $400,000 of Prohousing Incentive Program funds to affordable housing projects, with additional disbursements anticipated in 2026. Homelessness Solutions The City’s 6th Cycle Housing Element includes policies and programs to reduce homelessness under Goal 1, Safety, and Goal 8, Special Housing Needs. Additionally, Homelessness Response remains a Major City Goal as part of the 2025-2027 Financial Plan. With the continued rise in homelessness across California, the City Council prioritized funding programs and resources to prevent and address homelessness in collaboration with the County of San Luis Obispo and local service providers. In local government, counties are primarily responsible for leading efforts to address homelessness; however, the impacts often are borne directly by cities. In 2025, the City responded to 104 encampment fires and 941 medical incidents involving people experiencing homelessness, removed 47 tons of trash, and posted, conducted outreach, and cleaned up 247 illegal encampments, with $49,879.20 in City funds spent on related cleanup and maintenance activities. The City also provided $412,005 to CAPSLO for programs and operations Page 122 of 251 General Plan Annual Report 2025 13 at the 40 Prado Homeless Services Center, including the 40 Prado Safe Parking Program, a hotel and motel program, the 40 Prado Warming Center, and the Community Safe Parking Pilot Program. Strategic Planning for Homelessness In June 2024, the City Council approved an updated version of the City’s Homelessness Response Strategic Plan for 2024-2026. The plan outlines objectives and key tasks to prevent and address homelessness in the City of San Luis Obispo. The Strategic Plan aligns with the San Luis Obispo Countywide Plan to Address Homelessness, which outlines key lines of effort to reduce homelessness by 50 percent between 2022 and 2027. Key components of the City’s plan include Regional Collaboration & Engagement, Communications, Data, Pilot Programs, and Funding Opportunities. Homelessness response activities in 2025 included regional collaboration on state funding opportunities to develop interim and permanent supportive housing; partnerships with community and faith-based organizations to implement a Community Safe Parking Pilot Program model; and distribution of the City’s Homeless Resources Pocket Guide, updated in English and Spanish, which contains critical information on how to access community resources for individuals experiencing homelessness. Staff also received and responded to 244 AskSLO requests from community members regarding transient activity on City property and general homelessness-related concerns. These requests were addressed through encampment cleanups, enforcement actions, and/or field outreach, and outcomes were communicated back to the reporting parties. Human Services Grant Program The City’s Human Services Grant (HSG) Program, overseen by the Human Relations Commission, provides financial support to non-profit organizations that promote the economic and social well- being of the community. The program’s funding criteria focus on homelessness prevention, including affordable and alternative housing, supportive services, and transitional housing. Other funding priority areas include hunger and malnutrition prevention; supportive physical and mental health services; services for seniors, veterans and/or people with disabilities; supportive, developmental, and care services for children and youth; and services that encourage diversity, equity, and inclusion initiatives, including access to language services. The Human Services Grant Program is highly competitive and received total funding requests of $419,942, which was $269,942 more than funds available to the program. The Human Relations Commission reviewed 27 applications and recommended full or partial funding for 12 different organizations. The City has issued $150,000 in grants to those organizations since the approval of these funding recommendations. Page 123 of 251 General Plan Annual Report 2025 14 Community Action Team The San Luis Obispo Police Department’s Community Action Team (CAT) consists of one CAT officer, one Community Services Officer, one Licensed Psychiatric Technician from County Behavioral Health, and one Community Resources and Services Specialist. The team works to identify problems and crime trends that negatively impact the quality of life for residents, business owners, and visitors to the City of San Luis Obispo. In 2025, the CAT team engaged with 798 individuals, with 164 individuals electing to receive referrals to mental health and/or substance abuse services. Additionally, CAT facilitates family reunifications, and in 2025 reunited two individuals with family members across the United States. CAT works in collaboration with County Behavioral Health, social services agencies, local nonprofit organizations, and other City departments, utilizing a trauma-informed care approach to connect the City’s most vulnerable residents to resources and services. Partnerships with Downtown SLO and CAPSLO The City provides funding for the Downtown Clean & Safe Program, which is administered by Downtown SLO. The Downtown SLO Clean Team works to ensure that downtown is clean, safe, and welcoming to visitors — whether they’re living, working, shopping, or exploring downtown. The Clean Team provides cleaning services for sidewalks and alleys within the boundaries of the 24-block service area. This includes, but is not limited to, the removal of trash, graffiti, stickers, and human waste. In 2024, the Downtown SLO Board of Directors explored alternative options to further enhance the efficiency and effectiveness of the Downtown Ambassador and Clean & Safe Programs. Downtown SLO transitioned to a dedicated contractor cleaning service with CityWide Solutions to oversee cleaning duties. This shift allowed Downtown SLO to focus on maintaining a cleaner and more welcoming environment while ensuring consistent, high-quality service without the need to manage the day-to-day operations, hiring, and training of the Clean Team. By leveraging professional cleaning expertise, Downtown SLO can better meet the needs of the community and uphold the standards of cleanliness and safety essential to our shared spaces. In 2025, the Clean Team operated for a total of 1,672 hours and removed 7,741 pounds of trash; removed 693 graffiti tags; responded to and cleaned 1,394 cases of urine, vomit, and feces; cleaned public trash cans a total of 8,445 times; removed 2,744 pieces of gum; removed 18,696 cigarette butts; removed 1,658 stickers and flyers; and cleaned tree grates and wells a total of 2,277 times. Page 124 of 251 General Plan Annual Report 2025 15 The City also provides funding to CAPSLO for the 40 Prado Homeless Services Center, which provides overnight shelter and day services for unhoused community members, including housing navigation and case management. The Homeless Services Center also offers access to meals, showers, laundry facilities, healthcare, internet, and other supportive services. The City provides funding for the 40 Prado Safe Parking, Community Safe Parking, Warming Center, and Hotel & Motel Programs, which offer overflow capacity, services, and shelter for unhoused community members. Mobile Crisis Unit Embedded within the City’s Fire Department, the Mobile Crisis Unit (MCU) pairs a Community Resource and Services Specialist with a Licensed Psychiatric Technician (LPT) contracted through County Behavioral Health, as well as a part time Fire Department intern. The team responds to calls for service within the City and provides crisis support services to individuals experiencing non-emergency mental health challenges, drug and alcohol addiction, and chronic homelessness. In 2025, the MCU established 2,234 contacts with individuals experiencing homelessness; reunified 25 homeless individuals with agencies or family; provided 69 transports to services or alternate facilities; and responded to a total of 143 mental health crisis intervention calls for service. Inspection of Homeless Shelters (AB 362) Under AB 362, the City must follow up upon receiving a complaint from an occupant of a homeless shelter alleging that the shelter is substandard pursuant to California Health & Safety Code Section 17920.3. Code Enforcement received one complaint regarding the 40 Prado Homeless Services Center in June 2025. An inspection was conducted, and the complaint was determined to be unfounded. In June 2025, state legislature passed AB 130, which requires cities and counties to perform an annual inspection of every homeless shelter in their jurisdiction, even if no complaints have been filed by occupants. Code Enforcement conducted an inspection in December 2025 and found no violations. The Housing Team will file these inspection findings to HCD before the April 2026 reporting deadline. Coordination with Other Agencies City staff has continued to engage with other agencies and jurisdictions to foster collaboration aimed toward implementing General Plan policy: Regional Housing Action Team Representatives from San Luis Obispo County and its cities, including the City of San Luis Obispo, continue to implement the county’s first regional housing action team, as outlined in their respective Housing Elements. This collaboration has helped housing professionals in each jurisdiction navigate evolving housing issues and new state legislation aimed at removing housing barriers. Coordination through SLOCOG also facilitates the sharing of housing and transportation Page 125 of 251 General Plan Annual Report 2025 16 infrastructure data in preparation for the Regional Transportation Plan and future Regional Housing Needs Assessment allocations. Area Plan and Specific Plan Development The General Plan requires the approval of specific plans as a precursor to development of the City’s major expansion areas. Specific plans typically contain more detailed land-use and design standards than the General Plan and address the timing and financing of public facilities. Specific plans can supersede the Zoning Regulations or lead to amendments to the Municipal Code. The process of adopting a specific plan is similar to the process of adopting or amending a section of the General Plan. Margarita Area Specific Plan The Margarita Area Specific Plan (MASP) is located in southern San Luis Obispo, bounded by South Higuera Street, Broad Street, Tank Farm Road, and the South Hills ridge. Under Land Use Element (LUE) Policy 8.1.3, the MASP provides for residential units, a business park, a neighborhood park, sports fields, and open space. Over 40 percent of the land area is designated as open space, including 56 acres of parks. The policy also states that the City may consider the area appropriate for additional housing, but revisions to the MASP are required if development exceeds the plan’s current residential capacity The Airport Land Use Plan (ALUP) was amended in 2021. In response, City staff selected a consultant in 2024 to prepare amendments to the MASP to evaluate increased residential densities on already zoned land, encourage “Missing Middle” housing types, and allow mixed- use development on commercially zoned land. In 2025, staff continued working with the consultant on potential MASP amendments. Table 9 summarizes the status of current development projects within the MASP. Table 9 - Margarita Area Development Status, 2025 Projects Address Commercial Dwellings Status Prado Business Park 301 Prado 159,663 - Planning Entitlements – Approved Public Improvements - Under Review Building Permits – Expired 365 Prado Rd. Mixed-Use Project 365 Prado 100,000 222 GP and SP Amendments – In Process Planning Entitlements – In Process Total 259,663 222 Source: Community Development Department, 2025 Coversheet of Margarita Area Specific Plan Page 126 of 251 General Plan Annual Report 2025 17 Orcutt Area Specific Plan Nestled at the base of the Santa Lucia foothills, the Orcutt Area offers a variety of scenic resources for both residents of the area and travelers along Orcutt Road and Tank Farm Road, including views of Righetti Hill, Islay Hill, and the Santa Lucia foothills. Located along the southwestern edge of the city limits and bounded by Orcutt Road, the railroad, and Tank Farm Road, the area encompasses 230 acres at the base of Righetti Hill. The Orcutt Area Specific Plan calls for a residential neighborhood with up to 979 homes, a variety of housing types, parks, hiking trails, and recreational opportunities. These opportunities include bicycle and pedestrian paths, as well as protection of natural habitats and visual resources in nearby open space areas. Table 10 below shows the status of development in the Orcutt Area. Table 10 - Orcutt Area Development Status, 2025 Projects Address Dwellings Commercial Sq. Ft. Status Bullock Ranch 3580 Bullock 192 585 Planning Entitlements – Approved Public Improvements - Under Review Building Permits – Awaiting Submittal Pratt Property 3750 Bullock 35 3,400 Planning Entitlements - Approved Townhome Construction - Complete Live / Work units – Under Construction Building Permits for Commercial – Awaiting Submittal Enclave at Righetti 3805 Orcutt 34 Planning Entitlements - Approved Public Improvements – Substantially Complete Building Permits Issued – Under Construction Jones Mixed-Use 3806 Ranch House 15 7,600 Planning Entitlements – Approved Building Permits Issued – Under Construction; Three (3) affordable for-sale units construction complete Total 276 11,585 Source: Community Development Department, 2025 Linear Park Detail from Orcutt Area Specific Plan Page 127 of 251 General Plan Annual Report 2025 18 Airport Area Specific Plan Located approximately . miles south of Downtown San Luis Obispo, within the City’s Urban Reserve, the Airport Area Specific Plan (AASP) encompasses 1,500 acres adjacent to the San Luis Obispo County Regional Airport and is bordered by the Margarita Area, South Higuera Street, South Broad Street, and Buckley Road. The AASP envisions a mixture of open space, agriculture, business parks, and industrial development, as well as limited residential development. Plans for the Airport Area include the reuse and regeneration of the natural and built environment; enhancement of public, private, and environmental value; and smart, sustainable growth that benefit the community economically, aesthetically, and environmentally. Table 11 shows the status of development within the AASP in 2025. In 2025, the City Council adopted Ordinance No. 1747 (2025 Series), amending the AASP to allow mixed-use development in the Service Commercial (C-S) and Manufacturing (M) zones with a minor or conditional use permit where appropriate and consistent with the 2021 updated San Luis Obispo County Airport Land Use Plan (ALUP). The adoption of these amendments fulfilled Major City Goal of Housing and Homelessness work program 3.1.c. of the 2023-25 Financial Plan, which states: “Initiate an update to the Airport Area Specific Plan to allow mixed-use residential development, where appropriate and consistent with the County Airport Land Use Plan.” Table 11 – Airport Area Development Status, 2025 Projects Address Dwellings Commercial Sq. Ft. Status Tank Farm Commerce Park 179 Cross - 29,280 Planning Entitlements - Approved Under Construction 650 Tank Farm Mixed-Use 650 Tank Farm 239 18,600 Planning Entitlements – Approved Building Permits – Awaiting Submittal Public Improvements - Under Review 600 Tank Farm Mixed-Use 600 Tank Farm 280 12,500 Planning Entitlements – Approved, Modification in Process Public Improvements - Under Review SLO Airport Hotel 950 Aero 204 Rooms - Planning Entitlements – Approved Building Permits – Under Review Conserv Fuel Station 4600 Broad - 4,800 Planning Entitlements - Approved Under Construction U-Haul Personal Storage and Warehouse 1109 Kendall; 4805 Morabito - 114,368; 24,498 Planning Entitlements – Approved Under Construction Aerovista Medical Services and Offices 832 Aerovista - 41,007 Planning Entitlements – Approved Building Permits – Pending Submittal Earthwood Lane – Lots 16 and 17 4185 and 4195 Earthwood - 3,694; 3,764 Planning Entitlements – Under Review Total 519 252,511 Source: Community Development Department, 2025 Page 128 of 251 General Plan Annual Report 2025 19 Avila Ranch Development Plan In 2017, the City Council approved the Avila Ranch Development Plan to allow the development of 720 residential units and 15,000 square feet of neighborhood commercial uses on a 150-acre site located north of Buckley Road and within the boundaries of the Airport Area Specific Plan (AASP). Major Development review of the R- 2 portion of Phases 1-3 and the R-1 portion of Phase 5 were approved by the Planning Commission in 2021. The R-2 area includes up to 297 detached for-sale dwelling units. Building permits for this part of the project have been issued, and construction of the residential units and public improvements is underway. Approximately 200 residential units in Phases 1 and 2 have been completed and occupied to date. The R-1 portion includes 101 detached for-sale dwelling units, which have received entitlements but have not yet been constructed. An application for Major Development Review for the multifamily R-4 portion of Phase 3 was approved by the Planning Commission on February 14, 2024. The application included a density bonus request to add 20 affordable units to the site, bringing the total R-4 unit count to 85 market-rate rental units and 60 affordable rental units. Applications for Major Development Review and a Tentative Tract Map for condominium purposes for the multifamily R-3 portion of Phase 4 were approved by the Planning Commission on December 10, 2025. A total of 194 townhome-style residential units are included in Phase 4. With the approval of the R-4 density bonus, the total number of residential units entitled at Avila Ranch is currently 737. Phases 3 and 4 are fully entitled but have not yet begun construction. Conceptual Residential Street Scene from Avila Ranch Dev. Plan Phasing Map from the Avila Ranch Development Plan Page 129 of 251 General Plan Annual Report 2025 20 Mass grading for Phases 2-6 has been completed. Public improvements, including certain onsite improvements such as internal roads, utilities, and park and landscape areas, as well as certain offsite improvements, including the Buckley Road extension, have been substantially completed. Construction of the interim fire station at Avila Ranch is required to be completed by the developer prior to final occupancy of the 361st residential unit, which is currently anticipated in 2028. Table 12 shows the status on development in the Avila Ranch area. Table 12 - Avila Area Development Status, 2024 Projects Address Dwellings Commercial Sq. Ft. Status Avila Ranch SFR Phases 1, 2, & 3 (R-2) 175 Venture 297 - Planning Entitlements - Approved Public Improvements – Under Construction Building Permits Issued – Under Construction Avila Ranch Phase 3 (R-4) 175 Venture 145 - Planning Entitlements – Approved with 20- Unit Density Bonus Public Improvements – Pending Submittal Building Permits – Pending Submittal Avila Ranch Phases 4 (R-3) 175 Venture 194 - Planning Entitlements - Approved Public Improvements – Pending Submittal Building Permits - Pending Submittal Avila Ranch Phase 5 (R-1) 175 Venture 101 - Planning Entitlements - Approved Public Improvements – Under Construction Building Permits – Under Review Avila Ranch Phase 6 (Neighborhood Commercial) 175 Venture - 15,000 Future Phase Total 737 15,000 Source: Community Development Department, 2025 Page 130 of 251 General Plan Annual Report 2025 21 Froom Ranch Specific Plan A major component of the Froom Ranch Specific Plan is a Life Plan Community (LPC) known as Villaggio, which would provide 366 independent senior units, 38 assisted living units, 51 care facility beds, and a wellness center with ancillary services. In addition to the LPC, the Specific Plan includes approximately 174 multi-family units; 100,000 square feet of commercial retail uses; a 3.6-acre trailhead park that would incorporate onsite historic structures; and over 60 acres of land designated for conservation/open space. Consideration of the project included preparation of an Environmental Impact Report (EIR). The City Council certified the Final EIR and approved the Specific Plan, General Plan Amendment, pre-zoning of the property, and the Vesting Tentative Tract Map. The City Council authorized submittal of an annexation application to LAFCO in September 2020. An annexation application was filed in February 2021 and was approved by LAFCO in October 2021. The LAFCO conditions of annexation were completed, and the site was annexed into the City of San Luis Obispo in November 2023. Public improvement plans for on- and offsite roadway and utility improvements were submitted to the City for initial plan check in June 2023. The Froom Ranch project has been on hold for the past several years due to ownership changes and potential requests for modifications to the approved project entitlements. An application to initiate a Specific Plan amendment was recently submitted by the property owner, and City staff is currently evaluating the proposed changes. The City Council’s consideration of initiation of the proposed Specific Plan and General Plan amendments is expected to be scheduled for a public meeting late 2026 to determine whether the proposed legislative amendments should be accepted for processing. Froom Ranch Site Plan Page 131 of 251 General Plan Annual Report 2025 22 San Luis Ranch Specific Plan The San Luis Ranch Specific Plan project includes a mix of 654 residential units, 145,500 square feet of commercial, retail, and restaurant space; 100,000 square feet of office development; and a 200-room hotel. The public improvements have been completed, including utilities, landscaping, and the extension of Dalidio Drive and Froom Ranch Way. Building permits were issued in 2022 for the hotel, and construction was completed in 2025. The Agricultural Heritage and Learning Center (now known as SLO Ranch Farms and Marketplace) is open to the public and includes several new commercial buildings with restaurants, retail, and agricultural processing uses, along with the rehabilitation of historic structures. A total of 577 residential units have been completed and occupied within the San Luis Ranch Specific Plan area, including 296 multifamily units and 281 single-family units. Construction has not yet begun on the 64 to 77 affordable housing units required as part of the Specific Plan. In December 2024, the City Council authorized initiation of the processing of General Plan and Specific Plan amendments for San Luis Ranch to modify the uses planned for “Lot 7,” a vacant .44-acre commercial parcel. The developer has proposed replacing approximately 100,000 square feet of planned commercial uses with an additional 276 market-rate multifamily units. The project developer has not yet submitted applications for these amendments. Table 13 below displays the status of development in the San Luis Ranch Area. San Luis Ranch Site Plan Conceptual Rendering of the Agricultural Heritage and Learning Center (now known as SLO Ranch Farms and Marketplace) Page 132 of 251 General Plan Annual Report 2025 23 Table 13 – San Luis Ranch Area Development Status, 2025 Projects Address Dwellings Commercial Sq. Ft. Hotel Rooms Office Sq. Ft. Status Commercial Center 1035 Madonna 77 114,300 - - Planning Entitlements – Amendments in Process Public Improvements – Partially Complete SpringHill Suites Hotel - - 200 - Construction - Complete NG-10 Single-Unit Residences 198 - - - Construction - Complete NG-23 Single-Unit Residences 83 - - - Construction - Complete NG-30, The Orchard Multifamily Residential 296 - - - Construction - Complete Agricultural Heritage and Learning Center - 31,200 - - Construction - Complete Office - - - 100,000 Future phase, no building permits issued Total 654 145,500 200 100,000 Source: Community Development Department, 2025 Municipal Code Updates Energy Code & Reach Code Updates (Clean Energy Program for New Buildings) The City has a long history of local requirements for new construction that cost-effectively reduce greenhouse gas emissions through energy efficiency. On October 3, 2023, the City Council adopted an energy reach code for new buildings, which began enforcement on January 1, 2024, and is expected to result in lower building emissions. The reach code will remain in effect through December 31, 2025, when a new state energy code will be adopted. In 2024, the City Council adopted an energy reach code for major additions and alterations to single-family homes, which went into effect in early 2025 and also expired on December 31, 2025. Staff adopted an update to the additions and alterations reach code for enforcement in 2026 and will be working on updated new building reach codes throughout 2026. Page 133 of 251 General Plan Annual Report 2025 24 Amendments to Titles 16 & 17 Regarding ADUs and Urban Lot Splits On April 1, 2025, the City Council adopted a series of updates to the City’s accessory and junior accessory dwelling unit regulations, along with other miscellaneous items in the Zoning Regulations. These changes were made to maintain compliance with state law, provide clarifications, and identify and remove obvious barriers to housing development. This update also included revisions to the City’s Urban Lot Split regulations in Title 6 of the Municipal Code, implementing recent changes to state law. Climate Action Plan The General Plan includes climate action initiatives in the Land Use, Circulation, Conservation and Open Space, and Water and Wastewater Elements, including: • Land Use Policy 9.4 - Climate Action Plan: The City shall maintain and implement its Climate Action Plan to reduce community and municipal GHG emissions consistent with state laws and objectives. • Conservation and Open Space Policy 2.2.1 - Atmospheric Change: City actions shall seek to minimize undesirable climate changes and deterioration of the atmosphere’s protective functions that result from the release of carbon dioxide and other substances. • Conservation and Open Space Policy 2.2.5 - Model City: The City will be a model of pollution control efforts. It will manage its own operations to be as pollution free as possible. The City will work with other agencies and organizations to help educate citizens in ways to prevent air pollution. In 2020, the City Council adopted the Climate Action Plan for Community Recovery (CAP) and set the goal of achieving community carbon neutrality by 2035 (Resolution No. 11159,2020 Series). The City Council also adopted the Lead by Example Plan for Carbon Neutral City Operations in the summer of 2021 (Resolution No. 11263, 2021 Series), which established the goal of carbon- neutral municipal operations by 2030. As part of the 2023-25 Financial Plan, climate action was also identified as a Major City Goal (Climate Action, Open Space, and Sustainable Transportation), as well as in the new 2025-27 Financial Plan (Open Space, Climate Action, and Resilience). On December 13, 2022, the City Council adopted the Climate Action Plan 2023-27 Work Program (CAP Volume 3). In late 2025, staff initiated an update to the Climate Action Plan, which is expected to be completed in early 2027. Page 134 of 251 General Plan Annual Report 2025 25 Economic Development The City’s Economic Development Strategic Plan (EDSP) was adopted by the City Council in 2012, revised in 2015, and fully updated in 2023. The overarching goal of the plan is to advance the economic vitality of the City of San Luis Obispo and develop strategies that strengthen the City's economic development efforts while integrating the principles of sustainability, diversity, equity, and inclusion. Additionally, the EDSP emphasizes the retention of current businesses, the continued expansion of the arts and culture scene, and ongoing efforts to enhance the vibrancy of the Downtown area. The City has also recognized the need to expand the traditional scope of economic development to include practices that incorporate sustainability and social equity to maximize the community’s economic vitality. The EDSP establishes broad themes encompassing three key pillars and their associated action plans: Business & Entrepreneurship Vitality, Placemaking & Promotion, and Talent Development & Attraction. These pillars are intended to reflect the City’s priorities, as appropriate, while responding to its ever-evolving economic landscape. Careful consideration was given to ensure that the recommendations that follow fall within the scale and scope of the City’s economic development function. Many of the strategies in the EDSP are aligned with the policies in the Land Use Element. Progress on the implementation of the EDSP is published quarterly on the City’s website: Economic Development Strategic Plan | City of San Luis Obispo, CA. Tourism and Community Promotions The importance of the City’s Tourism and Community Promotions activities as an economic development function continued to be evident in Fiscal Year 2025 (FY25). As a result, the City collected a record-breaking $11.4 million in transient occupancy tax (TOT). This represents a 4.6 percent increase in revenue compared to Fiscal Year 2024 (FY24), which had previously been the best performing year in the City’s history. FY25 produced five $1 million revenue months – April, May, June, July, and August. This contribution of TOT revenue to the City’s General Fund is a direct benefit of tourism, as the full collection of TOT revenue is retained by the City. The FY25 occupancy level in the City was 2.9 percent higher than FY24, with an average occupancy rate of 70.05 percent for the year. During this same period, the Promotional Coordinating Committee (PCC) continued its commitment to enhancing the San Luis Obispo experience for residents and visitors. In October 2025, the PCC celebrated the third annual ARTober, a celebration of National Arts & Humanities Month. The events highlighted various arts, culture, and humanities experiences in San Luis Obispo. The PCC also continued the City’s Cultural Arts & Community Promotions (CACP) program, which provided $100,000 in vital promotional grants to local nonprofit organizations Visit San Luis Obispo Logo Page 135 of 251 General Plan Annual Report 2025 26 for programs that enrich the social, cultural, and diverse community events and activities available during this time. Also in FY25, the PCC directed the “Support Local” campaign through the Economic Development program, which included a multi-channel paid advertising plan, local public relations, a social media content strategy, and business support. In addition to implementing the sixth year of the Buy Local Bonus promotion, the City supported SLO Restaurant Month in January 2025. Policy Initiatives Cannabis Business Program Tax Revenue: The revenue generated from the City’s Cannabis Program helps support a variety of the City’s core services. This revenue is collected through taxes, licensing fees, and other financial mechanisms associated with the legal cannabis market. The City collected roughly $815,000 in tax revenue in Fiscal Year 2024-25 and is budgeting approximately $1 million in revenue for Fiscal Year 2025-26. Program Updates: Since the adoption of the Cannabis Program, staff has provided annual updates to the City Council, including policy recommendations to improve commercial cannabis administrative and operational processes. In 2025, staff presented the Annual Cannabis Business Program Update to the Council, including a review of operator permit changes, updates to cannabis tax and permit fee revenue forecasts, and recommended amendments to the cannabis zoning code to improve clarity in the Municipal Code and ensure consistency with state law. Historic Preservation An update to the Historic Resources Inventory was included as an implementation task under the City’s Major City Goal for Cultural Vitality, Economic Resilience, and Fiscal Sustainability in the 2023-25 Financial Plan. In 2025, Phase 1 of the project was completed. Phase 1 included updates to the City’s Historic Preservation Ordinance and Historic Context Statement. The City’s Historic Resources Inventory includes over 760 properties, the majority of which were added more than 30 years ago. The Historic Preservation Ordinance and Historic Context Statement provide the framework and regulatory guidance for determining which properties qualify as historically significant. Major updates to the Historic Preservation Ordinance included revisions to historic resource designations and evaluation criteria for historic significance to ensure greater consistency with guidance from the National Park Service and the State of California Office of Historic Preservation regarding the definition and evaluation of historic resources. Page 136 of 251 General Plan Annual Report 2025 27 The Historic Context Statement was revised to provide a more inclusive approach to preservation of the City’s resources and to align with updates to the Historic Preservation Ordinance. The updates expanded the discussion of themes related to minority and ethnic communities and integrated the contributions of San Luis Obispo’s Chinese, Japanese, African American, Filipino, and other communities into the relevant temporal and thematic contexts. These changes recognize members of these groups as significant contributors to the City’s development whose social, economic, and cultural experiences are relevant to and reflective of broader themes. With the update of these documents, the City now has an updated framework and guidance for the next phase of the project (Phase 2), including review of the current Historic Resources Inventory, future surveys, and continued effective implementation of the City’s Historic Preservation Program. Staff will initiate Phase 2 of the project in mid-2026, and the project is expected to take 12-18 months to complete. The Historic Resource Inventory (HRI) Update project is consistent with various policies in the Cultural Heritage (Chapter 3) section of the Conservation and Open Space Element, including those related to the identification and preservation of historic resources. The project directly implements COSE Goal 3.2, which calls for the City to expand community understanding, appreciation, and support for historic and architectural resource preservation to ensure long- term protection of cultural resources. Water Supply In 2025, the City obtained water from four sources: the Salinas Reservoir (Santa Margarita Lake), the Whale Rock Reservoir, the Nacimiento Reservoir, and recycled water from the City’s Water Resource Recovery Facility (WRRF). Table 14 - City Water Resource Availability, 2025 Water Resource 2025 Annual Availability Salinas Reservoir (Santa Margarita Lake) and Whale Rock Reservoir 4,910 AF Safe Annual Yield1 Nacimiento Reservoir 5,482 AF Dependable Yield2 Recycled Water 354 AF 2024 Annual Usage3 Siltation to 2060 (500 AF) WWME Policy4 A4.2.24 TOTAL 10,246 AF Source: Public Works and Utilities Department, 2025 View of San Luis Obispo, Looking West Page 137 of 251 General Plan Annual Report 2025 28 1Safe Annual Yield is the quantity of water which can be withdrawn every year while operating both reservoirs in coordinated operations under critical drought conditions. The City’s Safe Annual Yield Model was updated in 8 to reflect drought conditions that ended in 7. 2Dependable Yield is the contractual amount of water the City has right to from Nacimiento Reservoir. During the 2025 calendar year, the Nacimiento Pipeline was offline for a portion of the year, during those periods the City did not receive source water from the Nacimiento Reservoir. City water supply was provided from the Whale Rock and Salinas Reservoirs, which provided sufficient supply for the City. 3The quantity of recycled water included is the actual prior year’s recycled water usage ( 243) per WWE A7.2.2. 4Reservoir siltation is a natural occurrence that reduces storage capacity over long periods, resulting in the reduction of safe annual yield. For 2025, availability from the City’s water sources totaled 10,246 acre-feet, as shown in Table 14. This supply meets the projected primary water supply need at General Plan buildout of 7,496 acre-feet, plus an additional 1,298.35 acre-feet for a reliability reserve and a secondary water supply of 1,452 acre-feet. The primary water supply was calculated using the City’s buildout population ( 7, people)1 and a water use rate of 117 gallons per capita, pursuant to Water and Wastewater Element Policy A 5.2.1 (Water Use Rate). The reliability reserve was calculated using the City’s estimated 2025 population (49,534) and 20 percent of the aforementioned water use rate. The secondary water supply includes the remaining water resources. Additional information is available in the City’s annual Water Supply and Demand Assessment. 1The City’s population projection of 7, persons, from the General Plan Land Use Element, is based on 1 percent growth annually between 2014 and 2035. By policy, certain housing types and areas are excluded from this growth rate and projection (affordable housi ng, etc.). The City’s estimated Primary Water Supply need is based on projected population but encompasses all water demand in the City (residential, non- residential, and irrigation). Whale Rock Reservoir Page 138 of 251 General Plan Annual Report 2025 29 Transportation & Circulation Sustainable Transportation was identified as a Major City Goal (Climate Action, Open Space, and Sustainable Transportation) as part of the Fiscal Year 2022-23 Financial Plan and again in the 2023-25 Financial Plan. The following transportation planning and engineering projects and programs were implemented in 2025 as part of the City’s Sustainable Transportation Major City Goal, consistent with the Circulation Element of the General Plan. Vehicular Numerous traffic safety improvements were implemented as part of the City’s Traffic Safety Program to address collision trends and resident safety concerns. These improvements included striping modifications, sign replacements, and sight distance improvements at several intersections. Additionally, the City’s first Vision Zero Action Plan was released in draft form for public review in 2025. The Action Plan provides a comprehensive summary of current safety trends and a blueprint to guide priorities in engineering, enforcement, education, and post-crash care to improve traffic safety citywide. The final Action Plan is scheduled for City Council review in the spring of 2026. Additional vehicular projects and programs implemented in 2025 include: • Numerous traffic signal and intersection optimization improvements were completed as part of the City’s ongoing traffic signal management responsibilities. Traffic signal timings were adjusted at all City signals, and optimized signal coordination plans were implemented on the Johnson, Broad, Madonna, and Los Osos Valley Road corridors. • “Daylighting” improvements were implemented at intersections across the City. Daylighting prohibits vehicles from parking within 20 feet of marked and unmarked crosswalks, per State Assembly Bill 413. This improves safety at intersections by creating a clearer line of sight between drivers and pedestrians in crosswalks. • Traffic signal modifications were completed or are in progress at several intersections to address collision trends and improve pedestrian accessibility. These modifications include the addition of lead pedestrian crossing intervals and ADA- compliant audible pedestrian push buttons at multiple intersections. Striping and flex-post parking restriction to allow for pedestrian “Daylighting” Vision Zero Traffic Safety Program Page 139 of 251 General Plan Annual Report 2025 30 • Design for the roundabout at California and Taft Streets is complete, and acquisition of the remaining right-of-way is in progress, with construction expected to begin in 2026. • Prepared 38 Engineering and Traffic Studies to maintain enforceable speed limits and implemented speed limit reductions and/or speed limit visibility enhancements on 30 street segments, where permitted under California Vehicle Code requirements. • Issued 28 permits allowing residents to paint red curbs at their driveway entrances to improve sight distance. • Progress continues with preliminary engineering and environmental review for the Prado Road/US 101 Interchange Project, with a targeted construction start in 2029. • Final design, permitting, and right-of-way work continues for the Prado Road Bridge Replacement over San Luis Obispo Creek Project. Construction of the Prado Bridge Project is anticipated to begin in 2027 and is expected to be completed before the start of construction for the Prado Interchange Project. Bicycle/Pedestrian The 2024 Paving Project was completed in early 2025. The project included numerous traffic safety elements to improve mobility for all roadway users on Grand Avenue, Johnson Avenue, and various neighborhood streets, consistent with the Circulation Element, Active Transportation Plan, and Vision Zero Policy. It included the installation of a pilot road diet with new protected and buffered bike lanes and pedestrian/bicycle crossing enhancements on Grand Avenue; permanent improvements to retain a previous pilot road diet on Johnson Avenue; installation of an uphill bike lane on Highland Drive approaching Santa Rosa Street; Protected bicycle lanes and beacon crossings added to Grand Avenue Rendering of the Prado Road / Highway 101 Overpass Page 140 of 251 General Plan Annual Report 2025 31 and other minor complete street and safety improvements. Public outreach and design work continued through 2025 for the Higuera Complete Street Project. The project includes multimodal transportation and safety improvements along the Higuera Street corridor from Marsh Street south to the City limits. These improvements include several miles of protected bike lanes, more than 70 ADA curb ramp upgrades, enhanced pedestrian crosswalks at 40 locations, pavement repairs, traffic signal upgrades, and updated pavement surfaces and roadway markings. The project is supported by over $9 million in external grant funding. Environmental review and design are complete, and the project will be brought to the City Council for approval to advertise for construction in early 2026. Annual transportation safety educational activities continued in 2025, particularly with the development of the “Roll and Stroll” Bike and Pedestrian Resource Hub, which shares maps, information, tips, and how-to videos on biking and walking in San Luis Obispo. The Hub covers safety basics, understanding new facilities, and where to find additional education resources, including in-person classes. Activities in 2025 included Walk & Bike to School Days, Bike Month, Walktober, reflective Halloween bag distribution, Bike Light Education Pop-Up events, and other educational programs coordinated with Bike SLO County. Additionally, the City released a series of educational videos on bike and pedestrian safety topics, which will continue into 2026 and cover subjects such as safe riding and how to use new bikeway and pedestrian facilities. The City’s supply of short- and long-term bicycle parking continued to expand. Six new BikeLink lockers were installed at the parking lot at 1166 Higuera Street, providing secure and affordable long-term parking options in the downtown area. This brings the total to twelve such lockers in the downtown, in addition to the Marsh Street Parking Lot location. Bike valet parking service continued to be offered at the Farmer’s Market, Concerts in the Plaza, and other events, with a total of over 2,500 bikes parked in 2025. BikeLink Lockers at 1166 Higuera Rendering of the Planned Higuera Complete Streets Project Page 141 of 251 General Plan Annual Report 2025 32 SLO Transit SLO Transit operations in 2025 included the following: • In April 2025, the City Council adopted SLO Transit’s FY 6-30 Short-Range Transit Plan. The plan outlines service, program, and fare change recommendations aimed at meeting the City’s current and future public transit needs. Notable service change recommendations include the reinstatement of services suspended during the pandemic, more frequent service on Routes 2A/B, implementation of a new direct service to the Avila Ranch Specific Plan area, and a two-year microtransit pilot program. • In May 2025, the City took delivery of six new battery-electric buses to replace older diesel- powered buses. This purchase positions the City ahead of the state’s zero-emission mandates and advances its goal of achieving carbon neutrality by 2035. • Ridership continues to recover post-pandemic. SLO Transit reported over 660,000 passenger trips in Fiscal Year 2024-25, representing a seventeen percent increase compared to the previous fiscal year. • In August and September 2025, staff attended events at Laguna Middle School and Cal Poly to promote SLO Transit’s services, including the Laguna Tripper, which provides service to the middle school, and the 6 Express, which provides direct service between the campus and downtown on Farmers’ Market nights. • In November 2025, the City Council approved the release of a Request for Proposals (RFP) for transit operation and maintenance services. The RFP’s scope of services includes the service changes recommended by the Short-Range Transit Plan. Staff anticipate returning to the Council in April 2026 to award the contract, with service beginning July 1, 2026. • In December 2025, the City partnered with Rideshare’s Know How to Go campaign to offer free rides on the Holiday Trolley. During the 30-day holiday service period, more than 1,000 trips were provided at no cost to riders. New Battery-Electric Bus Page 142 of 251 General Plan Annual Report 2025 33 Parking Services Program Parking Services Program’s major focus areas in 2025 included: • Completion of the Technology Roadmap implementation, updating the parking technology used downtown to improve the customer experience. Improvements included digitizing garage permits, adopting a single mobile payment app for on-street parking, installing a consistent gated system in all public parking garages, adding new parking pay stations downtown, and enhancing security and customer service at all public parking garages. • In conjunction with the Technology Roadmap implementation, signage, equipment wraps, and public educational materials were standardized to improve communication and provide a consistent, easily recognizable downtown parking experience. • The final lighting, landscape, and striping improvements, as well as the demolition of the building and installation of six new BikeLink lockers, were completed at Lot 11, located at 1166 Higuera Street. This public parking lot provides long-term paid parking spaces on the eastern side of downtown. • The City continued construction of the Cultural Arts District Parking Structure, located at the corner of Palm and Nipomo Streets. This will be the City’s fourth parking garage and is expected to be completed in spring 2026. • Parking Services and the Mobility Services Communication Coordinator continue to collaborate with organizations such as Downtown SLO, the SLO Chamber, the Parking Steering Committee, and local business owners to keep them informed on all aspects of Page 143 of 251 General Plan Annual Report 2025 34 parking. This collaboration included the creation of informational flyers, business toolkits, and presentations. Staff have also provided ongoing public outreach through press releases, media campaigns, social media posts, flyers, updated signage, and in-person events. Safety Services Fire Department Climate Adaptation and Safety Element Policy OP-7.1 states that there should be adequate planning, organization, and resources for emergency preparedness and emergency response. Staff made several accomplishments in 2025 to meet this policy and has highlighted some of them below. Administration Public Information: In 2025, the San Luis Obispo Fire Department (SLOFD) continued to expand its Public Information services by increasing the Department’s communications capacity and public outreach efforts. This included an expanded social media presence, supported by a comprehensive social media calendar integrated into the City’s master communications calendar. The Department’s Administrative Specialist was responsible for social media content creation and external written communications, while the Emergency Manager conducted in- person television and radio interviews and served as the primary public-facing spokesperson. The Department also continued preparedness and safety interviews on KVEC and KNEWS radio. Since the Public Information Officer (PIO) role was formalized in late 2019, SLOFD has steadily improved its ability to deliver accurate, timely, and reliable information to the media and the public. Effective public information plays a critical role in reducing the severity of emergencies by educating the community in advance and enabling informed decision-making during incidents. Department social media analytics indicate that nearly percent of SLOFD’s followers are residents of the City of San Luis Obispo, demonstrating strong local reach and engagement. Operations Emergency Response: In 2025, SLOFD responded to 7,344 incidents from four strategically placed fire stations throughout the City. This number is 4.85 percent higher than in 2024. Emergency response was accomplished with a daily minimum staffing of fourteen sworn personnel. To help maintain this daily minimum, the City continued its investment in two important programs: a functional movement program to reduce the occurrence and severity of physical injuries, and a Peer Support Team Program to maintain the mental health and well-being of department personnel. Page 144 of 251 General Plan Annual Report 2025 35 Open Space Rescue Operations: In 2025, the Fire Department’s Urban Search and Rescue (USAR) Team continued to play a vital role in protecting the lives of both visitors and residents. Members of the USAR Team receive specialized training in complex and technical rescue operations and participate in the San Luis Obispo County Regional USAR Team. The team consists of nine members, which increases the likelihood that multiple USAR specialists will be on duty on any given day, thereby increasing the Fire Department’s operational readiness. The Fire Department, along with its USAR Team members, responded to thirteen technical rescues and medical emergencies in open space areas in and around the City during 2025. Significant incidents included rescues on Cerro San Luis (Madonna Mountain), Bishop Peak, Irish Hills, Cal Poly, and Reservoir Canyon. The Fire Department’s open space rescue programs continue to evolve. Many of these rescues, particularly around Bishop Peak, require the use of a helicopter to locate, access, and transport victims. The Fire Department works closely with, and trains frequently alongside, the California Highway Patrol, which operates the rescue helicopter in the county. In addition to this collaboration with CHP for air resources, two key contributors to the continued success of the Fire Department’s open space rescue program have been the E-Bike Program and the Utility Terrain Vehicle (UTV) program. Both pieces of equipment have been invaluable in locating, transporting, and caring for people in open space in a timely manner. The UTV program is also utilized through Mutual Aid to assist neighboring fire departments. Mobile Crisis Unit: The Mobile Crisis Unit (MCU) responds to behavioral health incidents both proactively and reactively. Law Enforcement (LE) and Fire Service (FS) resources are often called to assist individuals in crisis, serving as a one-size- fits-all solution for issues ranging from homelessness to mental illness and addiction. As a result, many individuals are not connected to the most appropriate resources available. To provide more tailored support, the MCU pairs a Community Resources Services Specialist with a Fire Department intern and, as of October 2024, a Licensed Psychiatric Technician from County Behavioral Health. This model enhances service for those in need while reducing reliance on LE and FS resources, which have limited tools to address individuals in crisis. The MCU is staffed during peak activity hours, from 8 a.m. to 5 p.m., Monday through Friday, based on current SLOPD and SLOFD response data. Implementation of a 24/7 service may Open Space Rescue and Expanded Technical Rescue Team Mobile Crisis Unit Page 145 of 251 General Plan Annual Report 2025 36 eventually be warranted, depending on the program’s ability to meet community needs, reduce LE and FS resource impacts, and decrease hospitalization and arrest/jail time. In 2025, the MCU responded to a total of 143 calls for service and 2,234 field contacts. These field contacts enabled the MCU to provide transport to alternate facilities (other than local hospital emergency departments) a total of 69 times. Working with stakeholders, the MCU Team also facilitated the reunification of 25 individuals with their family, friends, or other out-of-area support networks. Training Climate Adaptation and Safety Element (CASE) Program OP-7.18 “Staff Training,” states that the City will train firefighters, police officers, building inspectors, and public works and utilities staff to levels appropriate for their tasks and responsibilities. As of 2025, the Fire Department employed 49 sworn positions and 12.5 non-sworn positions for a total of 57.5 full-time employees. Fire Department employees logged nearly 19,121 hours of training in 2025. Employees eligible to participate in the Joint Apprenticeship Committee (JAC) registered a total of 9,942 hours in 2025. The JAC provides reimbursable funds back to the department. JAC training resulted in over $47,000 in funds returned to the department in 2025, a $15,000 increase from 2024. These funds are held by the JAC program and can be used to support the department’s training program upon approval from the sub-JAC committee, which is comprised of department and labor group leadership. The department has also reached an Instructional Service Agreement (ISA) with Allan Hancock College, which allows it to receive compensation for the training of personnel who do not qualify for the JAC program. Non-sworn employees attended several key training courses in 2025 to maintain skill levels appropriate for their tasks and responsibilities. Some of this training included attendance at the biannual California Conference of Arson Investigators and State Fire Investigation training. Our Fire Mechanic staff attended training to maintain their certifications and to learn about new technologies in fire apparatus, including electric fire apparatus, which are becoming more common across the nation. Training Officer: The Training Captain oversees the Injury Prevention Program, which has continued to show success in reducing hours lost to work-related injuries. Prior to the start of the program in 2019, the Fire Department recorded 11,550 hours of work comp time lost. In 2025, comp time hours lost decreased to 3,487 hours, a 70 percent reduction. The new positions help provide consistent and reliable administration and coordination of all mandatory, recertification, and recommended in-service training and safety programs for emergency response, which is necessary as the increasing complexity and evolving service demands call for specialized instruction. In addition, the Fire Training and Safety Officer responds to emergency incidents in the primary role of operational support and as the incident safety officer, identifying and addressing preventable accidents or potentially unsafe situations. The Training Captain oversaw a four-person recruit academy and continues to provide oversight of probationary firefighters during their rotations and testing at the six- and twelve-month marks of their probation. Page 146 of 251 General Plan Annual Report 2025 37 As part of the Injury Prevention Program, a new vendor, Pinnacle Fitness, provides more comprehensive physical examinations for all suppression members and fire prevention staff. The vendor offers in-house blood testing, physical exams, fitness assessments, cancer screening, hearing screening, and vision screening. The increased cancer screening aligns with NFPA recommendations for professional firefighters. The Deputy Chief manages the Fire Intern Program. In 2025, the Fire Department employed five interns, sponsoring two interns through a Firefighter 1 academy at Allan Hancock College. The program was expanded to include the fire prevention bureau, mechanic shop, MCU, and emergency management division. Fire interns were able to interview for areas in which they had particular interest or experience. Through the internship program, the Fire Department is a certified internship site for Cal Poly psychology students, currently providing a six-month internship for a psychology student. Interagency Training: The Training Division coordinated joint training with inter and intra- departmental entities, preparing our employees for all types of emergencies. Those included: • USAR H70 Helicopter Training - Irish Hills • Open Space Mapping - City GIS Department • County Structure Burn: Prepares members to extinguish and rescue victims from live structure fires. • Cal Poly Response: Training on Cal Poly Campus for various disciplines including open space rescue, technical rescue on campus, industrial accidents at the new dorm construction site, and large scale MCI response. Wellness and Fitness Initiative (WFI): The WFI program was created in 2018 to enhance the fitness, health, and wellness of Fire Department emergency response staff, strengthening the department’s ability to provide service to the community. In 2025, the wellness team helped provide funding for more comprehensive annual physical exams. California Incident Command Certification System (CICCS): The California Incident Command Certification System (CICCS) is a cooperative effort between the State Fire Marshal’s Office and the California Governor's Office of Emergency Services, Fire and Rescue Branch. CICCS is an all- hazard qualification and certification system that enhances the State of California’s ability to deploy firefighting resources to complex and catastrophic incidents with trained and qualified personnel. The system includes the development of personnel in key field positions of the ICS system, as well as minimum training standards, qualifications, and experience requirements when assigned to wildland/urban interface incidents. To achieve these standards and qualifications, personnel must meet the minimum requirements for each ICS position they choose to work in. Prospective candidates are required to complete Page 147 of 251 General Plan Annual Report 2025 38 multiple week-long classes, then submit an application that includes certifications from the required classes, documentation of experience, and a letter of support from their respective fire department. This application is reviewed by the CICCS committee for approval to become a trainee in the position. Trainees are then required to open a task book, which involves participating in all-hazard incidents under the supervision of a trainer. During this period, trainees are taught and evaluated on specific aspects of the position. Completing the task book often takes two or more years and multiple incident assignments. Once the task book is complete, all documentation is submitted to the CICCS committee for final review and approval to work in the position. These expanded roles provide personnel with greater depth of knowledge and qualifications, which further enhance departmental capabilities. By being qualified in multiple ICS positions, personnel can serve both within their department and in other jurisdictions in the event an incident, improving overall emergency response capacity. Emergency Management Climate Adaptation & Safety Element (CASE) Policy OP-7.1, Emergency Preparedness and Response, ensures that the City of San Luis Obispo and all relevant City departments maintain adequate planning, organization, and resources to effectively prepare for and respond to emergencies. In 2025, City staff made significant progress toward meeting this policy through coordinated planning, training, public education, and emergency readiness initiatives, as summarized below. Coordinated Emergency Planning & Training: CASE Program OP-7.15 directs the City to operate within the Standardized Emergency Management System (SEMS), the National Incident Management System (NIMS), the National Response Framework (NRF), and to participate in periodic, multi-jurisdictional disaster response exercises. CASE Program OP-7.18 further requires the City to conduct Emergency Operations and Emergency Services response exercises for non- nuclear hazards, while also coordinating participation in required nuclear disaster preparedness exercises. In , the City’s Emergency Manager ensured that the Fire Department maintained an effective and comprehensive emergency management program, including emergency planning, training, staff preparedness, community preparedness, and hazard mitigation project support. During the year, the Emergency Manager and San Luis Obispo Fire Department staff participated in multiple functional and full-scale emergency exercises, including a FEMA-evaluated Emergency Monitoring and Decontamination (EMAD) drill coordinated by the San Luis Obispo County Office of Emergency Services, a Cal Poly full-scale Emergency Operations Center (EOC) exercise, a City of San Luis Obispo EOC drill, and a First Responder Point of Distribution (FRPOD) drill focused on vaccine administration. These exercises strengthened interagency coordination, tested emergency communications and decision-making processes, and reinforced operational readiness across departments and partner agencies. The Fire Department continued close coordination with all City departments to ensure that employees, including City Council members, completed required SEMS and NIMS training. Completion of this training is a prerequisite for eligibility for Federal Emergency Management Page 148 of 251 General Plan Annual Report 2025 39 Agency (FEMA) disaster assistance. Staff also worked closely with Human Resources to integrate required disaster training into onboarding for new employees. This program will continue to expand with additional Disaster Service Worker (DSW) training citywide. The Emergency Operations Plan (EOP) describes the City of San Luis Obispo’s policies and concept of operations for responding to major emergencies or disasters that could affect the health, safety, and property of the public within the City and exceed the capabilities of day-to-day city operations. The EOP includes hazard-specific annexes, including Earthquake, Hazardous Materials, Multiple Casualty, Transportation, Fire, Civil Disturbance-Terrorism-Active Shooter, Diablo Canyon Nuclear Power Plant, Adverse Weather, Extended Utility Disruption, and Pandemic. This plan will be reviewed and exercised periodically and revised as necessary to satisfy changing conditions and needs. Preparedness Education: CASE Program MH-1.10 directs the City to work with community organizations to educate residents and households on strategies to increase preparedness for emergency events and climate-related impacts. In 2025, the Fire Department conducted a broad range of public education and outreach efforts to improve community disaster readiness. These efforts included wildfire preparedness events, community flood readiness outreach, the Fire Department’s annual Fire Prevention Week Open House, participation in a Parks & Recreation Monday Meet-Up event, and continued support of Firewise neighborhood education and engagement activities, including the countywide AlertSLO public notification program. In addition, the Emergency Manager conducted multiple preparedness-focused radio and television interviews to provide timely safety messaging and emergency preparedness information to the public. Staff also delivered preparedness presentations to the Downtown Business Association, church groups, and other community organizations, helping to extend preparedness messaging to residents, businesses, and vulnerable populations. Staff continued to disseminate preparedness flyers and videos developed through the Prepare SLO campaign to ensure the public had access to current and reliable information. These resources are available through the Fire Department’s website and social media platforms and support ongoing community awareness and resilience efforts. SLO Fire Dept. Preparedness Education Page 149 of 251 General Plan Annual Report 2025 40 Risk Reduction and Fire Prevention Hazard Mitigation: The most recent update of the City’s Hazard Mitigation Plan (HMP) was completed in 2025 as the Multi-Jurisdictional Hazard Mitigation Plan, which is pending adoption by the City Council after review and approval by the Federal Emergency Management Agency (FEMA) and the California Office of Emergency Services (CalOES). This HMP serves as the mandatory update to the City’s 2020 Local Hazard Mitigation Plan. The HMP is incorporated by reference into the CASE and should be consulted when addressing known hazards to ensure the general health and safety of people within the City of San Luis Obispo. It provides guidance on how to reduce the community’s vulnerability to natural hazards. The plan calls for annual stakeholder meetings at the County level to review progress and identify collaborative opportunities. The City is required to maintain a current HMP, which must be updated every five years, and in 2023 signed a letter of commitment to participate in the 2025 MJHMP update with the County of San Luis Obispo. Maintaining a current HMP allows the City to apply for State and Federal reimbursement in the event of a disaster. Program FI-5.12 of the CASE states that the City should continue to implement the City’s Community Wildfire Protection Plan (CWPP) to reduce wildfire risk in the City’s wildland-urban interface, including implementation of the CWPP Tactical Policy Measures that focus on four key policy areas: community education, fuels management, planning, and emergency response preparedness. As part of hazard mitigation, SLOFD finalized the City’s first CWPP in July 9. The CWPP is a collaborative plan designed to guide the City in addressing fire protection planning efforts to minimize wildfire risk to watershed lands, assets, firefighters, and the public. It presents the City’s physical and social characteristics, wildfire history, and evaluates landscape-scale fire hazard variables; utilizes priority landscape datasets to assess wildfire risk; identifies strategic measures for reducing structural ignitability; provides guidance for public education and outreach; and identifies fuel reduction goals and techniques for minimizing wildfire risk. The CWPP is intended to be a living document, managed and updated by the Fire Department with stakeholder input and involvement. Staff utilized the plan to act in 2025 to guide public education and fuel reduction efforts. City staff continued to provide wildfire preparedness tools to the community through news releases, webinars, social media, and a Wildfire Readiness Night held in June. The Fire Department also coordinated with the Office of Sustainability and Natural Resources and the Parks and Recreation Ranger Service to conduct fuel reduction efforts along San Luis Obispo Creek, the Irish Hills Open Space, San Luis Drive, and Cerro San Luis Open Space. Multi-Dwelling Property Inspection Program: Under the direction of the Fire Marshal, the Fire Prevention Bureau inspects all multi-dwelling properties (three or more units) in the City to ensure that they meet fire and life safety standards set by the California Fire Code. This state- Page 150 of 251 General Plan Annual Report 2025 41 mandated program helps safeguard residents and visitors who patronize local hotels and generates approximately $350,000 in annual revenue to offset implementation costs. The Fire Prevention Bureau conducted inspections of apartments, hotels, and fraternity and sorority houses in 2025, achieving 100 percent compliance. Fire and Life Safety Inspections: In 2025, 1,800 inspections were completed in the City of San Luis Obispo. These inspections included new and existing businesses, annual inspections, and fire and life safety systems. The Fire Prevention Bureau (FPB) maintained a 97 percent compliance rate for all fire and life safety systems in the City. Life safety systems include fire sprinklers, fire detection systems, and commercial kitchen hood systems. FPB staff also completed 428.66 hours of plan review. A portion of these inspections resulted in Fire Code operating permits, generating approximately $100,000 in annual revenue. Hazardous Materials Inspections: The Fire Prevention Bureau serves as a “Participating Agency” in the County’s Certified Unified Program Agency (CUPA). Businesses that use or store hazardous materials in appreciable quantities, generate hazardous waste, or operate underground or aboveground petroleum storage tanks are subject to inspection. The Hazardous Materials Coordinator conducted 325 facility inspections in 2025, an increase from 288 in 2024; of these, 109 were also Fire Department Operational Permitted Programs. The overall program generated approximately $214,000 in revenue in fiscal year 2024-2025. Vegetation Management: In July 2025, the Fire Prevention Bureau took a proactive role in weed abatement. The Bureau mailed 76 courtesy letters to property owners with a history of enforcement. Due to the early notification, only two dozen follow-up enforcement actions were required, resulting in compliance within 30 days. Vegetation management achieved 100 percent compliance across the City. The Fire Department continued to support the Natural Resources and Parks and Recreation Ranger Service in fuel- reduction projects within City-owned open space and creek corridors. In 2025, City staff conducted fuel reduction work along the Bob Jones Bike Trail and San Luis Obispo Creek between Prado Road, Los Osos Valley Road, and San Luis Drive. Staff removed dead and downed material and smaller vegetation from the creek, creating a shaded fuel break along the creek corridor behind the Water Resource Recovery Facility and other nearby critical facilities. Fuel reduction efforts also continued in the Bowden Ranch Open Space and Cerro San Luis Natural Reserve, with support from Ranger Service’s Open Space Technicians (supplemental staff positions) and assistance from California Conservation Corps crews. In the fall of 2024, staff received notification of a grant award from CalFIRE to purchase two large woodchippers to Bob Jones Trail Page 151 of 251 General Plan Annual Report 2025 42 support hazardous fuel reduction in high-fire-risk creek areas. The chippers were received in late 2025 and will be fully implemented in 2026. In 2025, the Fire Department worked closely with the County Fire Safe Council to support vegetation management projects through 2026, including planning and fuel-reduction efforts to reduce wildfire threats surrounding the City, with a strong focus on the Irish Hills, Miossi Ranch, and Reservoir Canyon areas. Grants secured through the Fire Safe Council funded hazardous tree removal throughout the City and grazing along San Luis Obispo and Prefumo creeks. Fire Hazard Severity Zones and WUI Code Implementation: In March 2025, the State of California released updated Fire Hazard Severity Zone (FHSZ) maps reflecting the latest science on wildfire behavior, climate conditions, topography, and vegetation. These updated maps identify areas of elevated wildfire risk within the City of San Luis Obispo and serve as the regulatory basis for future wildfire-related planning, development standards, and community risk-reduction efforts. The maps identify more than 2,800 parcels within the City limits that fall within the Very High Fire Hazard Severity Zone (VHFHSZ). Following the release of the maps, the 2025 California Wildland-Urban Interface (WUI) Code was issued at the state level for adoption and implementation by cities beginning in January 2026. In October, City staff held a public study session with the City Council to explain the updated fire hazard maps and WUI code requirements and to clarify how state standards are applied and interpreted locally. This session was intended to support transparency, technical understanding, and informed policy decision-making. In November 2025, the City Council formally adopted the 2025 California WUI Code, along with the updated 2025 California Building and Fire Codes. Before and after adoption, the City leveraged publications, public messaging, and community outreach to inform residents, property owners, and development professionals about the changes and their future implications. To further support community preparedness and compliance, the Fire Department was awarded a FEMA Fire Prevention and Safety Grant in 2025. This funding enables the Department to begin offering voluntary Detailed Home Assessments to property owners, providing site-specific guidance on defensible space and home-hardening measures. These assessments are intended to help residents prepare for future wildfire resilience requirements, including anticipated legislation related to Zone 0 ember-resistant standards. 2025 Local Responsibility Area Fire Hazard Severity Zone Map Page 152 of 251 General Plan Annual Report 2025 43 Critical Facilities Locations and Reducing Structural Hazards: CASE Program OP-7.12 identifies City facilities that are essential to community function and emergency response and directs the City to avoid locating new critical facilities within designated flood hazard areas, wildfire hazard zones, earthquake fault zones, or other special hazard areas. Where critical facilities are already located within these zones, the program requires the City to identify and, where feasible, implement mitigation strategies to reduce associated hazard impacts. In 2022, City staff initiated a project in coordination with the California Joint Powers Insurance Authority (CJPIA) to install seismic sensors in select critical facilities to support rapid post- earthquake assessment of potential structural impacts. The sensors were installed, and the project was completed in 2024. In 2025, the devices were removed following the evaluation period, with lessons learned informing future approaches to post-earthquake structural assessment and critical facility resilience. Police Department CASE Program 9.4 states that the City will train police officers and other City employees to levels appropriate for their tasks and responsibilities. In 2025, the Police Department employed 63 sworn positions and 34 non- sworn positions, for a total of 97 full-time employees. As noted in the 2018 Capital Facilities Fee Program Nexus Study (i.e. AB 1600 Nexus Study), the service population totals a combined 72,800 workers and residents. With the current 63 sworn officers, the service level is a ratio of 0.87 sworn officers per 1,000 service population. At General Plan buildout, the service population is forecasted to grow by approximately 15,500 persons. If the same service level ratio is applied, the City would need 13 additional sworn officers by 2035. The Police Department had 59 sworn officers back in 2002 and has not experienced significant sustained growth in personnel over the past 20 years, while the City has continued to grow in area and population. In 2024, the Police Department completed a comprehensive staffing study that was presented to the City Council in January 2025. The study recommended 55 action items for the Department, including the addition of 14 full-time employees to enhance service delivery to the community, 11 of whom would be police officers. In 2025, the Police Department completed its second year of work effort on the five-year strategic plan. Year 1 and 2 action items included completion of a department-wide staffing study; use of data-driven policing tools to reduce crime; establishment of an online recruitment portal to enhance hiring efforts; improvements to the Department’s physical fitness facility; development of a central resource guide for employee wellness information; updates to body- SafeHub Seismic Sensor Page 153 of 251 General Plan Annual Report 2025 44 worn and in-car camera systems; exploration of options to enhance community communication; expansion of community presence; and enhancement of the Department’s training program. Staff Training: The California Commission on Peace Officer Standards and Training (POST), which mandates minimum content and hours for basic and in-service training, also regulates the training of police officers and communication technicians. In 2025, the Police Department maintained compliance with POST requirements for in-service training hours by sending employees to POST-certified courses on various topics - costs of which were reimbursed by POST - and by providing in-house training. Employees utilized a combination of online, in-person, and SLOPD-hosted training to ensure all staff maintained their required training hours. In 2025, the Department continued its commitment to having 100 percent of staff trained in Crisis Intervention Training (CIT). New employees are sent to CIT training as soon as possible to maintain a fully trained CIT staff. The primary goal of CIT is to reduce injuries to officers and mental health consumers during interactions, while appropriately redirecting consumers from the judicial system to services and support needed to stabilize them and reduce future police contact. CIT training ranges from 8 to 40 hours depending on the course, and the San Luis Obispo Police Department is committed to ensuring all staff receive the full 40-hour course as soon as possible. The San Luis Obispo Police Department (SLOPD) also conducts in-house training using employees who are certified instructors in a variety of police-related functions, including defensive tactics, mobile field force, active shooter response, and firearms use. In addition to standard police training, the Department continues to support training efforts related to the Peer Support Team, which was created to assist officers following tragic or traumatic events. The Peer Support Team is trained to address a wide variety of issues and can provide direct counseling or refer individuals to appropriate resources. The team also produces a monthly employee wellness newsletter to provide ongoing outreach and information to staff. Additionally, Peer Support has shared its expertise and experience with surrounding law enforcement agencies in response to critical incidents in those jurisdictions. Mutual and Automatic Aid – Police: Section 9.10 of the CASE indicates that the City will work with other jurisdictions to obtain and maintain adequate mutual-aid and automatic-aid agreements. The Police Department provides officers to assist surrounding law enforcement agencies with various special events, including parades, protests, and large-scale investigations. Typically, officers assist many local police departments, including Santa Maria, Pismo Beach, Paso Robles, Morro Bay, Atascadero, the California Highway Patrol, and the County Sheriff’s Department. In return, many of these agencies assist SLOPD with several of its large-scale events, including St. Patrick’s Day and the annual Holiday Parade. Page 154 of 251 General Plan Annual Report 2025 45 Since 2008, the City has participated in a regional Special Weapons and Tactics Team (Regional SWAT). The Regional SWAT team allows participating cities to leverage limited resources and maximize coordination and specialized expertise during critical incidents. The SWAT team responds to incidents throughout the county and conducts twice-monthly training exercises, along with scenario-based training days in conjunction with the City’s Crisis Negotiation Team. Community Action Team (CAT): The CAT Team continues to identify problems and crime trends that negatively impact the quality of life for residents, business owners, and visitors. The Team works collaboratively with patrol officers, investigators, the Neighborhood Outreach Manager, other City departments (Fire, Ranger Service, Public Works and Utilities, Community Development), social service providers, business groups, and other governmental agencies as appropriate to provide a trauma-informed care approach that connects the City’s most vulnerable residents to resources and services. The CAT Team has focused on individuals involved in adverse and repetitive criminal activities that negatively affect the community. In 2025, CAT engaged with 798 individuals and made 164 treatment referrals to mental health and substance abuse services. Additionally, CAT facilitated two family reunifications for individuals experiencing homelessness. The CAT Team includes one police officer, a Community Resources Officer, a Licensed Psychiatric Technician from County Behavioral Health, and a Community Resources and Services Specialist. Community Service Officers: The growth and rebranding of the Community Services Officer (CSO) program, formerly known as Field Service Technician (FST), was a strategic expansion aimed at tripling the program's capacity and enhancing the City’s commitment to the well-being of the Downtown Core and the broader community. Since then, the CSO program has played a pivotal role in delivering personalized services to the business community, residents, and visitors. The primary objective of CSOs is to address quality-of-life issues efficiently. These non-sworn officers promptly respond to both non-criminal and criminal infractions, including, but not limited to, drinking, smoking, noise disturbances, blocking the right-of-way, and minor disturbances of the peace. In 2025, the CSO program demonstrated significant impact and success in addressing crime and quality-of-life issues. CSOs have effectively responded to infractions and misdemeanors, contributing to a safer and more harmonious downtown environment. That year, CSOs issued 443 citations for offenses such as public alcohol consumption, littering, smoking, and unregistered vehicles, along with 189 cite-and-release arrests for alcohol, drugs, theft, tows, and trespassing. While many of these incidents reflect their dedicated efforts downtown, enforcement has been carried out citywide, and their presence has been felt through the rapid resolution of incidents. Community Service Officer Team, 2024 Page 155 of 251 General Plan Annual Report 2025 46 CSOs have actively engaged in building effective partnerships with various community stakeholders. This collaborative approach not only fosters a sense of community but also allows sworn police officers to concentrate on more serious calls for service. The CSO team maintains a visible presence in the community, utilizing a range of patrol tactics, including bikes, vehicles, and predominantly foot patrols. CSOs have proven to be a force multiplier for the Police Department, and the strategic allocation of these resources has improved overall service delivery, providing assistance more efficiently. The success of the expanded CSO program over the past few years represents a significant step toward creating a safer, more vibrant downtown community. This initiative has strengthened the bond between law enforcement and the community, fostering a collaborative and secure environment for all. Neighborhood Wellness Land Use Element Program 2.14 states that the City will help identify neighborhood problems and undertake a wide range of focused development review, capital improvement, and code enforcement efforts to help residents preserve and enhance their neighborhoods. Code Enforcement – Community Development Department The City’s Code Enforcement Office reports directly to the Community Development Department’s Chief Building Official and is responsible for prioritizing, responding to, investigating, and enforcing the validity of all reported violations relating to several regulations. It is the goal of code enforcement to gain compliance utilizing the lowest level of enforcement mechanisms and techniques possible. Staff is responsible for ensuring compliance with state and local laws relating to: • Building and Zoning Requirements • Property Maintenance • Graffiti • Abandoned Shopping Carts • Conditional Approvals and Permits • Setbacks, Fence Height • Polystyrene/ Straws/Water bottle • Signs • Land Use • Health & Safety Concerns • Unpermitted Construction • Improper Occupancy • Substandard Buildings • Dangerous or Unsecured Buildings • Animal & Waste • Noise & Odor In 2025, Code Enforcement staff responded to 1,259 requests for investigation. This represents a 9.9% decrease compared to the previous calendar year; however, compared to the last five years, it represents a 121% overall increase from 2021-2025. In total, 163 Neighborhood Preservation cases and 183 additional Code Enforcement cases were opened during 2025. Additionally, 278 investigation requests resulted in confirmed violations and were resolved without escalated enforcement, resulting in a total of 624 cases addressing confirmed violations, as shown below in Table 15. Page 156 of 251 General Plan Annual Report 2025 47 Table 15 - Code Enforcement Statistics, 2021-2025 Source: Community Development Department, 2025 Neighborhood Outreach – Police Department Police Department SNAP employees (Student Neighborhood Assistance Program) continue to conduct parking enforcement and respond to noise complaints in neighborhoods during evening hours. In 2025, SNAP responded to 570 noise complaints and issued 300 Disturbance Advisement Cards (DACs). DACs are formal warnings that carry no financial penalty but place the property on the noise “no warning” list; future noise complaints are investigated by patrol. SNAP also continued parking enforcement in residential districts, issuing 3,626 citations in 2025 for violations such as no permit, fire lanes, blocking hydrants, and parking in disabled spaces without placard. In June 2025, Wilshire Community Services declared bankruptcy and closed. The SLO Solutions community mediation program, run by Creative Mediation was part of Wilshire, ceased operations with the closure. In December 2025, the Police Department, in collaboration with City Administration, Cal Poly, and Cuesta College, began discussions on revitalizing the community mediation program. Data for the first six months of 2025 for the SLO Solutions program was not available. Noise abatement in neighborhoods continues to be a priority for maintaing civility and community wellness. Figure 3 below provides a monthly overview of noise complaints throughout the year. Voluntary party registration remains an effective tool for residents hosting social gatherings at their homes. Registration allows residents to notify SLOPD of their event so that, if a noise complaint is received, police dispatch can call the host and issue a 20-minute warning to reduce noise. In 2025, 4,453 party registration applications were received, 353 applications were approved, 50 warning calls were made, and six citations were issued to party hosts who did not heed their warning. Page 157 of 251 General Plan Annual Report 2025 48 Figure 3 - Monthly Noise Party Calls for Service, 2025 Conservation & Open Space Conservation and Open Space Protection was identified as a Major City Goal (Climate Action, Open Space, and Sustainable Transportation) in the Fiscal Year 2023-2025 Financial Plan, as well as the new 2025-27 Financial Plan (Open Space, Climate Action, and Resilience). The General Plan includes numerous goals, policies, and programs focused on open space protection. These policies apply to sensitive lands within the City’s urban reserve, as well as to land in the San Luis Obispo Greenbelt that is protected for its biological, agricultural, aesthetic, and watershed protection value. Further details are provided in the Land Use and Circulation Element and the Conservation and Open Space Element. Highlights for 2025 include: • Righetti Hill: On May 13, 2025, the City hosted a ribbon-cutting ceremony for Righetti Hill Open Space and officially opened the 51- acre property to the public. The site, one of San Luis Obispo’s striking Morros, features over two miles of sustainably built trails. The City received a dedication of Righetti Hill within the Orcutt Area Specific Plan and Natural Resources, along with the Ranger Service staff to establish a new open space and trail system. The Righetti Hill Open Space Conservation Plan was Righetti Hill Open Space Ribbon-Cutting Ceremony Page 158 of 251 General Plan Annual Report 2025 49 adopted by the City Council in 2023. Phase 1 of the trail system and trailhead was completed in early 2024, with additional trails finished in 2025. • City Farm SLO: The City continued to support and partner with City Farm SLO to deliver sustainable agriculture education for students and the community, while producing healthy local food. In early 2022, a 40-year lease extension was granted to City Farm SLO reflecting the successful long-term partnership and City Farm SLO’s plans for significant capital improvements at the property. In 2024, City Council authorized a financial contribution by the City of San Luis Obispo to complete additional road maintenance on the driveway access from the end of Calle Joaquin to provide a 20-foot-wide all-weather access road on the City owned property. City Farm is currently constructing a 2,000 square foot agricultural pole barn structure onsite for storage and wash/pack operations for the farm. Architectural review was completed by the City in 2025 and 2026, as required by the lease agreement, and Building permits were issued for the new structure. The pole barn is being funded by a grant from the State of California Department of Food and Agriculture. In 2025, the City Council approved a lease amendment with City Farm SLO to include an additional 1.5 ac res to their area, and City Farm SLO was successful in securing a $75,000 grant from the California Farmland Conservancy Program, to activate this site for farming. The City will continue to further augment the efforts at the City Farm site with in-kind services and support as part of the Major City Goal work program. • Invasive Species and Restoration: The City continued invasive species vegetation control, focusing on French broom along Froom, Prefumo, and San Luis Obispo Creeks. Once the invasive plants were removed, native trees and vegetation were planted to restore habitat. Restoration efforts included the installation of butterfly gardens in City and neighborhood parks and medians to support the Mayor’s Monarch Pledge, a partnership with the National Wildlife Federation. With the installation of educational signage (in English and Spanish) and a demonstration nectar garden in Mission Plaza to educate visitors, staff plan to expand planting and educational efforts along the Mission Plaza Walkway with grant funding secured. • Cultural Fire: In December 2025, the City hosted a cultural burn at Johnson Ranch Open Space. The burn was conducted by the yak titʸu titʸu yak tiłhini Northern Chumash Tribe (ytt) with support from CalFIRE. It was the third Indigenous-led cultural fire hosted on City Open Space since the first burn in June 2024. In 2022, the City adopted the Climate Adaptation and Safety Element (CASE), which aims to incorporate traditional ecological knowledge - such as cultural burns - to help the community adapt to climate change. Good fire reduces fuel loads and decreases the likelihood of catastrophic wildfires that can cause safety risks, Cultural Burn at Johnson Ranch Open Space Page 159 of 251 General Plan Annual Report 2025 50 property damage, and poor air quality. Tinɨtyu ("Good Fire") can also enhance biodiversity, increase the abundance of foraged food, encourage the growth of high-quality plant material, reduce plant diseases and insect infestations, and improve hunting conditions. • Johnson Ranch Riparian Restoration: In 2025, the City continued implementing restoration work at Johnson Ranch. This project is funded by a $250,000 grant from the Wildlife Conservation Board and Point Blue Conservation Science. The approach relies heavily on City partners, such as ytt, who are leading perennial grassland restoration efforts on the banks of Dry Creek, while Nature’s Engineers installed and are maintaining 30 Beaver Dam Analogs (BDAs) in Dry Creek to retain water longer into the dry season, improve groundwater recharge, and improve steelhead habitat. ECOSLO is leading volunteer-driven native tree and shrub plantings in the creek corrridor. Together, these restoration activities sequester carbon while making Dry Creek and Johnson Ranch more resilient to climate change. Staff also continue to engage Cal Poly professors and students to provide hands-on education through the “Learn by Doing” approach in open space monitoring and restoration projects. • Staff continued to support the Public Works and Utilities Department in implementing the Stormwater Management Program as required by the Regional Water Quality Control Board (RWQCB). The program focuses on improving stormwater quality through Best Management Practices (BMPs), including construction site monitoring, municipal operations, development review, litter control, installation of projects addressing the Pathogen TMDL, and public participation to reduce pollution runoff. • Staff continued steelhead trout (Oncorhynchus mykiss) and Pacific lamprey (Entosphenus tridentatus) surveys along San Luis Obispo and Stenner Creeks with biologists from the California Department of Fish and Wildlife (CDFW) and the U.S. Fish and Wildlife Service (USFWS). Staff collaborated with CDFW to tag juvenile steelhead to better understand migratory patterns, timing, and population trends, and to expand future monitoring efforts. • Staff also began cataloging potential sites for new oak trees planting and initiated installation of oaks to expand the existing oak forest on several City open space properties, including Terrace Hill, Bowden Ranch, and Cerro San Luis. These projects were completed in collaboration with Rotary clubs, volunteers, and the California Conservation Corps and will support the City’s “ Tall” goal of planting , trees by . • City staff partnered with the California Conservation Corps (CCC) through the Greenhouse Gas Reduction Fund (GGRF) program to help implement the Wildland-Urban Interface (WUI) and Integrated Vegetation Management Plan for Open Space Lands of San Luis Obispo. Through this partnership, CCC members worked in Bowden Ranch to remove dead, downed, Johnson Ranch Open Space Page 160 of 251 General Plan Annual Report 2025 51 and burned material as well as ladder fuels following the October 2023 Lizzie Fire. Staff also collaborated with the FireSafe Council and PG&E on a major fuel reduction and cleanup effort in response to the fire and continue to additional projects to enhance community protection along the WUI. Parks & Recreation Throughout 2025, the Parks and Recreation Department offered programs and activities in senior programming, youth activities, and family-friendly community events, with an emphasis on community building to support objectives associated with the Parks and Recreation Blueprint for the Future (Element and General Plan), Major City Goals, and Local Revenue Measure G . The following sections highlight the divisions and programs that support the Major City Goals and the Parks & Recreation Blueprint for the Future. Community Programming Youth Sports: The City provides accessible recreational youth sports opportunities for children of all abilities and experience levels through instructional clinics and sports leagues that focus on building confidence, teamwork, integrity, and leadership skills. The City continues to work collaboratively with local youth sports groups, the San Luis Coastal Unified School District (SLCUSD), and the SLO County YMCA to meet community needs. Youth Sports Clinics, offered by Parks and Recreation staff, continued to provide a variety of sports and fitness activities in 2025. Throughout the year, eight separate clinics were offered twice a week, including pickleball, soccer, basketball, t-ball, and volleyball, serving over 125 youth athletes. Community Services staff provided two and a half weeks of full-day Summer Sports Camp during the summer, with 180 youth participants. This camp has quickly become a favorite summer option and is offered during the weeks when the Youth Services traditional summer camp is not in session, providing continuous childcare opportunities for the community. The Sports Division continued the long- standing San Francisco Junior Giants summer program (baseball and softball), serving 175 youth athletes and over 50 volunteer coaches. This free, non-competitive, eight-week program focused on skills and drills, training, gameplay, and weekly Junior Giants topics designed to build resiliency. Other annual youth leagues, offered in partnership with the Channel Islands YMCA (San Luis Obispo County), include the Basketball and Futsal leagues. The winter youth basketball league enrolled nearly 700 children, with 110 volunteer coaches. City Youth Futsal Game Page 161 of 251 General Plan Annual Report 2025 52 staff served as weekly referees for Saturday games at five locations throughout the City. The spring Futsal program had over 370 youth participants and 55 volunteer coaches. The Division also provided focused, hands-on sports officials training before the start of the season and distributed communications to families and coaches outlining expected and appropriate conduct. Adult Sports: Adult recreational sports continue to provide the community with a variety of activities for both adult and senior populations. These activities include drop-in opportunities such as boomer softball, ultimate frisbee, table tennis, volleyball, dodgeball, and basketball. Scheduled community sports programs include adult soccer, offered in partnership with Central Coast Soccer, and affordable pickleball lessons through the SLO Pickleball Club. New in 2025, the Division launched an adult volleyball league, serving 80 players across 10 teams. The largest and most staff-intensive adult league is the year-round softball league, which consists of three seasons (Spring, Summer, and Fall) serving between 700 and 730 participants with 45- 50 teams per season. Games are held four nights per week, with Sports staff serving as umpires at all locations throughout the City. Community Building Programs: The Department continued to assess and expand accessible, low-cost activities that allow the community to connect and enjoy all that San Luis Obispo has to offer through enhanced year- round programming. Throughout 2025, staff coordinated popular community events, including the Leprechaun Lost event at the Farmer’s Market in March, the Spring Fling and Egg Hunt at Meadow Park, and the summer “Monday Meet-Up” nights at local parks, featuring music, food trucks, public art and activities. Highly attended fall events included the September Scramble, with over 600 participants, and the October Boo Bash, which featured a movie and haunted house and set a record attendance of over 600 community members of all ages. Contract Classes: The City’s external instructor partners offer a range of classes for youth and adults. Parks and Recreation staff coordinated over 750 class registrations for courses in art, dance, fitness, financial planning, and even surfing. Leprechaun Lost Event at the Farmer’s Market Softball League Champions Page 162 of 251 General Plan Annual Report 2025 53 Community Gardens: The five Community Gardens in the City continued to bloom with the support of staff through regular maintenance. Staff coordinated six volunteer workdays, as well as free composting days for gardeners through the City’s Hitachi Zosen Inova (HZI) program. With support from the garden intern, a quarterly gardening newsletter was produced, providing important reminders, seasonal tips and tricks, recipes, service opportunities, and highlighting a “favorite” garden plot. SLO Senior Center: The City continued to support senior programming and the Senior Center Board with a half-time Coordinator who continues to expand programs and services in partnership with the Senior Board. In 2025, City funded and coordinate programs included: • Family Trivia Nights: a multiage event held 19 times throughout the year. • Around-the-Town staff led tours; six different tours led throughout the year, including Dalidet Adobe Gardens and a downtown public art tour. • Family Barbecue events during the summer and winter. • Music and dancing events: six events including a partnership with the SLO Winds Orchestra. • Hiking and Walking Program: 12 SLO Hikers events and 10 SLO Walkers events, each led by City staff. • New Yoga for Seniors (and all ages) 11-month program. Jack House and Gardens: The Jack House Gardens event season was closed for most of 2025 due to a roofing project from March to August. During this time, the Volunteer Coordinator worked with the Jack House docents to inventory house items, prepare for upcoming tours, research other historical properties, and develop a framework for succession planning for a program that relies heavily on a volunteer docent coordinator. When the House reopened in the winter, it hosted the annual Holidays at the Jack House over a two-month period, with weekly attendance exceeding historical numbers, including over 120 visitors on any given Sunday. Youth Services School Year Childcare: During the 2024-2025 school year, childcare continued to be offered before and after school to children enrolled in grades TK through 6th grade at five San Luis Coastal Unified School District (SLCUSD) elementary school sites: Bishop Peak, CL Smith, Hawthorne, Pacheco, and Sinsheimer Elementary Schools (except for Teach Elementary, whose students are bussed to the nearby Pacheco Elementary site). To keep childcare costs low, increase access, and Family Barbecue Event Page 163 of 251 General Plan Annual Report 2025 54 promote inclusion, staff continued to use a drop-in care registration system, allowing families to pay only for the time their child attends rather than registering by week or month. While this system requires more staff time and administrative effort, it benefits families by charging only for care used, rather than a flat “use it or lose it” rate, and allows more children to enroll despite fluctuating schedules. Programs continued to operate during traditional time frames: before school, midday for TK and Kindergarten students, and after school. Due to limited facility space at each campus, waitlists were managed throughout the school year. District construction projects at all of the school sites continued, resulting in shifting spaces to provide care. At two school sites, the licensed childcare program operated on the school stage, creating additional challenges, as the stage is a central location used for lunch, PE, or other programming while children were present. For the 2024-2025 school year, the District continued its partnership with the City to support younger students. Instead of the City providing family-paid childcare during traditional TK/Kinder program hours (8:30 a.m. to the start of the school day and from school dismissal until 2:50 p.m.), the District used Extended Learning Opportunity Program (ELOP) funds to cover childcare for all TK/Kindergarten students during this time. The District also extended the school day for Kindergarten students. This arrangement resulted in a Memorandum of Understanding (MOU), with the District paying directly for the costs associated with children attending during these program hours. During the 2024-2025 school year, 564 children were enrolled into the City’s licensed before- and after-school program (paid for by families or subsidized through CAPSLO or City scholarships), with 777 time slots of care provided. In addition, 438 TK/Kindergarten children received care during the District-paid hours (8:30 a.m.– 2:30 p.m.). Combined, the City provided daily care to more than 863 children - the highest number to date. Challenges in increasing attendance continued, as the school district is currently undergoing construction at all school sites using funds from a recent bond measure. As a result, some childcare programs have been confined to operating on a stage in a multipurpose room or sharing a classroom, with the understanding that opportunities for growth will follow once construction is complete. Summer and School Break Care: In summer of 2025, the City provided two camp models: the traditional summer camp program (Ultimate Day Camp, or UDC) and a summer school option offered in partnership with SLCUSD (Summer Fun Day Camp, or SFDC). UDC included seven weeks of full-day camp for approximately 105 children each week, featuring field trips, swim outings, and special on-site events. Page 164 of 251 General Plan Annual Report 2025 55 Staff coordinated field trips to locations throughout the City and County, including Mustang Waterslides, Avila Beach, the Santa Barbara Zoo, Boomers, and Mustang Lanes, as well as biweekly trips to the SLO Swim Center and Sinsheimer Park. Since the pandemic began, City transit and local buses have not been available for summer camp transportation. As a result, the program incurred additional costs to hire a charter bus, allowing children to participate in traditional field trips, including twice-weekly visits to the SLO Swim Center. Prior to the pandemic, the camp was held at Sinsheimer Elementary School, which allowed campers to walk to the SLO Swim Center. However, in summer 2025, Sinsheimer was unavailable due to construction, requiring the use of a charter bus for swim trips. For many campers, these outings provide their only opportunity to swim recreationally during the summer, as their families work and are unable to take them outside of camp hours. Enrollment in the package-price program decreased slightly in 2025, while participation in the District’s free summer school program increased. For SFDC, enrollment grew as the City partnered with the District to provide before- and after- summer-school care at two school sites. Although the program was free for participating children, the District paid the City directly for services using ELOP funds, with more than 400 children participating at the two sites before and after summer school. New this year, the District asked childcare staff to provide a two-week “extended day” program at SFDC. During this period, City staff delivered curriculum for summer school students as part of their educational experience, rather than solely providing before- and after-school care, Due to the District’s need for additional staffing support. For those two weeks, the City served nearly 200 registered children and an additional 400 non-registered students for the full day, while also continuing to operate the full-day UDC program. Ultimate Day Camp Attendees Summer Camp 2025 Enrollment Advertisement Page 165 of 251 General Plan Annual Report 2025 56 Other programs during the school year included Teacher Workday Camps and a week-long Spring Break Camp for school-aged youth, collectively serving 285 participants. In addition, the Division provides extended childcare hours during the District’s early release days, as well as numerous onsite special events. The Division also hosted its third annual “Family Fest” in December, where families made gingerbread houses and participated in a silent auction featuring items donated by local businesses, with all proceeds supporting Youth Scholarships. Subsidized Childcare: The City continues to partner with Community Action Partnership (CAPSLO) and Childcare Resource Connection to provide subsidized childcare. Children who qualify through CAPSLO may attend childcare at no cost, and the City applies to CAPSLO for reimbursement (unlike other participants, who are required to pay prior to attendance). In 2025, 62 children received subsidies through CAPSLO. The Youth Services Division also manages a registration scholarship program. In the 2023-2025 Financial Plan, the City Council approved $20,000 for youth scholarships. In 2024-2025, 38 families received $33,500 in scholarship support. Childcare Staff: All Youth Services programs are supported by up to 70 supplemental staff, ranging from entry-level Childcare Aides to Childcare Head Teachers and full-time Site Directors. Staff turnover since fall 2024 has resulted in the hiring of 200 part-time staff members during the year. Each time a supplemental staff member is onboarded, the Youth Services administrative team and Parks and Recreation administrative staff spend approximately 60 hours total per employee on onboarding and training. Staff receive ongoing instruction to ensure programs remain consistent with Department and State licensing standards. Training topics include Positive Guidance, Safety and Accountability, Mandated Child Abuse Reporting, and Pediatric CPR/First Aid. In addition to supplemental staff, each school site is supervised by a Site Director who is responsible for up to 150 children throughout the day, ensuring state licensing compliance and staff oversight. Due to current staff shortages, all Site Directors, along with full-time positions such as Program Assistant, Recreation Coordinator, and Recreation Supervisor, are providing direct care to children. Volunteers & Training The Citywide Volunteer Program continued to expand under the leadership of the Coordinator. Volunteers support the advancement of City projects and Major City Goals, working alongside staff on a regular basis, at single-day events, and through recurring opportunities. In 2025, an average of 150 volunteers served each month, contributing more than 8,600 volunteer hours. Fifteen different City teams engaged volunteers throughout the year. Volunteer opportunities included recurring administrative support across several City Volunteer Assisting with Administrative Duties Page 166 of 251 General Plan Annual Report 2025 57 departments, regular Trail Service Days with the Rangers, and service with the dedicated Jack House docents. Several groups continued to participate in the Adopt-A-Park program, and due to its success under the Volunteer Coordinator’s management, additional initiatives expanded to include Adopt-A-Trailway and Adopt-A-Storm Drain. Volunteers served throughout the City as visual arts volunteers, supported graffiti abatement efforts, assisted at Whale Rock Reservoir, promoted recycling education at downtown events, and provided coaching through sports leagues, among many other roles. Single Day of Service opportunities included Pumpkin Smash, September Scramble, Boo Bash, Leprechaun Lost, garden service days, public art maintenance, and more. Open Space Maintenance The Ranger Service accomplished significant goals in 2025, including creating new and upgraded trails, and continued to provide educational and recreational opportunities to the San Luis Obispo community. The City's 4,050 acres of designated open space and more than 68 miles of trails are designed to provide access for a variety of abilities and experiences, ranging from easy to rugged hiking trails, introductory to advanced mountain biking, and scenic pathways located within minutes of residences and businesses. The Ranger Service led monthly educational hikes throughout City open spaces, hosted more than 50 community and volunteer workdays, promoted educational “Wilderness Wednesdays” through social media to engage and educate the community, and conducted Junior Ranger Camps during the summer. In 2025, more than 1,000 hours were devoted to public education, focusing on conservation and the local history of flora and fauna specific to each open space property. Dedicated community volunteers worked alongside Ranger staff on trail maintenance projects at Johnson Ranch and Miossi Open Spaces, the Irish Hills Natural Reserve, and a new switchback trail in Bowden Ranch. Ranger staff also partnered with Natural Resources and the Fire Department to support a second collaborative cultural burn with the Chumash Tribes at Johnson Ranch Open Space in fall 2025. A major internal project - the creation of the first formal bike park at Laguna Lake Park - continued into 2025 with additional phases and upgrades. The project fulfills a key objective outlined in the Parks & Recreation Blueprint for the Future (Master Plan and General Plan Element), as bike park amenities ranked among the top five community requests. The bike park includes the Mountain Bike Loop, a Kids Pump Track, and two jump lines (Progressive and Advance). The next phase will add an intermediate (all- ages) pump track. In fall 2025, the Laguna Lake Bike Park received a Facility Design Award for Innovation from the California Parks and Recreation Society, District 8. Laguna Lake Bike Park Page 167 of 251 General Plan Annual Report 2025 58 The popular Winter Evening Access (WEA) Program at Cerro San Luis Natural Reserve allows for extended evening hours of passive recreational use along approximately 4.9 miles of City- managed trails during the winter months (November – March), when daylight savings time is not in effect. During this period, public use is extended to one hour before sunrise and until 8:30 p.m. During daylight saving time, public use hours return to one hour before sunrise through one hour after sunset. Nighttime use is by permit only and limited to 65 people per evening, based on prior conservation review. Free permits for biking and hiking are available up to one week in advance through the City website. Ranger staff are present at the trailhead to check permits and educate the public during the Winter Evening Access program. Mission Plaza Concessionaire Kiosk After bringing the RFP forward for approval in May 2025, the City received nine vendors, five of which were selected to move forward with in-person interviews. In late August 2025, a committee of City staff, SLO Chamber of Commerce representatives, and Downtown SLO staff selected Linnaea’s Café as the preferred vendor for the kiosk. The lease agreement was finalized in December 2025. Staff anticipate that tenant improvements to the kiosk will take 3-4 months, with a projected opening in Summer 2026. The concessionaire will collaborate with organizations hosting special events in the plaza to support plaza activation. Laguna Lake Dog Park The long-awaited new dog park project was approved for construction in fall 2024 and opened in May 2025. The three-acre park features full perimeter fencing with separate areas for small and large dogs. Each area includes ground improvements such as turf and mulch, as well as an improved drainage system for year-round use. New dog agility structures were assembled through a partnership with local organizations and schools to provide features for play and training. The project received a park design award from the California Parks and Recreation Society District 8 in November 2025. A Good Dog Enjoying the New Agility Course Page 168 of 251 General Plan Annual Report 2025 59 Orcutt Area Parks (Righetti Park System) In July 2021, the City Council approved the development of a multi-park system as part of the Orcutt Area Specific Plan, specifically within the Righetti Ranch Neighborhood. The design process continued with an in-person community workshop in April 2023, which provided updated construction designs. The proposed parks in this area include a comprehensive community park, a linear park, a pocket park, and a formal trail junction. An RFP for the project was issued in summer 2025, and the project was approved for construction, including funding authorization for the first three of five phases, in December 2025. Construction is set to begin in late spring 2026, with pickleball courts, a multi-age playground, restrooms, athletic turf fields, and bike park features planned for completion in fall 2027. The recreation amenities support the Parks and Recreation Blueprint for the Future (General Plan and Element), with future phases to include tennis courts, basketball courts, additional restrooms and parking, a dog park, and community gardens. SLO Swim Center In 2025, the popular SLO Swim Center continued to provide a wide range of community-focused aquatic opportunities, including lap swimming, recreational swimming, group and private swim lessons for all ages, aquatic fitness classes, SCUBA, and various programs for the warm- water pool. In summer 2025, the Swim Center partnered with three nonprofit organizations - GALA, Central Coast Autism Spectrum Center, and SLO County Friday Night Live - to offer unique recreational swim opportunities and modified swim lessons throughout the year, increasing lesson availability for the community. The Super Rec Saturdays featured an inflatable obstacle course and family-focused themed activities, with attendance averaging 500 to 800 participants per event. Staff also partnered with the SLO Seahawks to operate a snack bar during each event. The Aquatics Division continues to promote water safety through social media and the “Designated Water Watcher” program, which can be used at alternate water locations. This program provides tools to enhance water safety through proper swim instruction and education. Orcutt Area Park System Swim With Pride Rec Swim Event Page 169 of 251 General Plan Annual Report 2025 60 The SLO Swim Center currently serves as the lifeguard training hub for San Luis Obispo County, with the Aquatic Coordinator acting as the regional Red Cross Instructor Trainer. This prestigious certification allows the Swim Center to be a focal point for water safety within the region. Laguna Lake Golf Course The Laguna Lake Golf Course (LLGC) provides affordable programs and services seven days per week. During the past year, community use continued to grow, with just under 25,000 rounds played in 2025. Staff implemented a variety of community programming at the golf course, including upgraded mats at the driving range, seating and pitching area improvements, all-ages golf lessons, Laguna Middle School PE classes, the SLO High School golf program, Cal Poly kinesiology classes, free classes for the SLO County Special Olympics, free youth golf clinics through the First Tee program, and hosting special events such as the September Scramble and a county-wide cross-country youth competition. General maintenance and operations of the golf course continue to be impacted by aging irrigation systems, which require additional maintenance and increase operational costs, as well as rising water expenses. The Pro Shop facility remains closed due to major flooding from a significant winter storm in December 2021. Golf Operations are currently conducted from a temporary onsite office trailer, supporting golf reservations, rentals, and merchandise sales. Design of the new Pro Shop is scheduled to begin in mid-2026, with construction anticipated in 2026-2027. Winter 2023 storms created a significant safety hazard for the pedestrian wooden bridge, as creek embankments were compromised. The bridge connects holes one and two and provides access to holes three through five. Staff modified the course to provide alternate access and resume play for golfers. Bridge replacement is currently scheduled for summer 2026. Public Art Program Outreach: The City Public Art Program plays a key role in the community and supports the Major City Goals of Diversity, Equity, and Inclusion (DEI) and Economic Development. City collaborations included internal partners - Public Works and Utilities, Community Development, Tourism, Communications, and DEI - as well as external partners and collaborators, including the SLO History Center, GALA, SLO Arts Council, The Bunker, SLO Senior Center, regional, state, and nationwide Public Art Administrators groups (all coordinated by the City’s Public Art Coordinator), numerous local artist groups, the San Luis Obispo Museum of Art, and many more. Upgraded Mats at the Driving Range Page 170 of 251 General Plan Annual Report 2025 61 Public Art staff were invited to speak at both Laguna Middle School and SLO High School during tutorial periods to provide an overview of the Box Art program, ways to get involved, and opportunities for careers in the arts. Staff were also invited to present at other local and statewide events, including the California Parks and Recreation Society Fall Forum. Box Art Program: 2025 marked the 15th year of the Box Art program in San Luis Obispo, the oldest in California. This year also served as a revitalization of the program, beginning with the definition of “cultural districts” for box assignments. A call for artists in the winter/spring of 2025 resulted in over 80 submissions for 20 spots. Prior to the close of the call, City staff, along with local photographers, representatives from the vinyl wrap company, and tech experts, held workshops to support artists in submitting their work. A jury of 16 community members - including representatives from the Chumash Tribe, local Chinese-American community, GALA, the SLO History Center, downtown businesses, and others - spent a full day selecting pieces based on cultural representation, diversity of expression and medium, and overall aesthetics. Once all boxes were installed, the City continued to celebrate the 15th anniversary with new swag, including playing cards and coloring books. Additionally, the first-ever “Meet the Artist” event was held downtown in October 2025, during National Arts and Humanities Month, and the annual Artist Appreciation event in December 2025 recognized both new and deaccessioned Box Art artists. Throughout the year, City staff hosted numerous walking tours of Box Art for the community, with over 20 attendees participating. 15th Anniversary of the SLO Box Art Program Artist Melisa Beveridge with her Box Art Mural Page 171 of 251 General Plan Annual Report 2025 62 Other City installations and projects: The North Chorro Street underpass project was completed, featuring the mural “In the Shadow of the Mountain” by local group Marmalade Mural Co. and bronze work by Thiessen Metal Works. This collaborative mixed media art installation celebrates one of the most locally treasured natural landmarks, Cerro San Luis Obispo Mountain. The mural depicts flora and fauna native to the surrounding open spaces, with each column of the overpass highlighting a vibrant plant or animal in a night scene on the north side of the street or a day scene on the south side. Public Art staff also spent part of 2025 preparing for the community mural to be installed at Newport Street, the first-ever community painting project. In addition, staff focused on developing the first-ever Poetry Walk, celebrating public art in a variety of mediums. Staff collaborated with SLO Rep staff as they began identifying a piece of art to fulfill private development requirements, and also guided the developers of San Luis Square through the installation of a privately funded public art piece, “The Alley Cats - All 9 Lives.” Community Programming: Continuing the trend of community building, an artist was commissioned to create an interactive community mural, which was transported to multiple programs and events throughout the summer, including the four Monday Meet-Up events. This provided opportunities for discussion and engagement. For the second year, the City partnered with the SLO Arts Council to offer a free summer artist lecture series, featuring four lectures throughout the season. New this year, the City hired a local artist to provide two weeks of daily art lessons for children attending Summer Fun Day Camp, in partnership with SLUCSD. The artist engaged over 200 budding artists, who created artwork inspired by the summer camp theme. A Portion of “In the Shadow of the Mountain” City Volunteers Assisting with Cleaning and Waxing Downtown Bronze Sculptures Page 172 of 251 General Plan Annual Report 2025 63 In 2025, the City hosted four separate service days to engage the community with art. On MLK Day of Service, a group of individuals from the African Black Caucus participated in cleaning art. In the spring, nearly 20 Cal Poly volunteers worked with City staff and two local fabricators, learning how to clean and wax all the downtown bronze sculptures. Later in the fall, City staff led another volunteer group through the cleaning and waxing of the popular Mission Plaza Bears sculpture. Finally, volunteers spent a day with City staff cleaning downtown Box Art. Maintenance and Infrastructure: In 2024, an artist was hired to assess and provide recommendations for artwork with deferred maintenance. In 2025, City staff worked with local fabricators and repair professionals to determine the priority and costs of needed repairs, identifying two top projects based on safety concerns and deterioration: The Greys in Between and Puck. The Seven Sisters railing on the Santa Rosa bridge received a much-needed refresh. Ongoing graffiti abatement of murals continued throughout the year. As stated above, staff also worked with volunteers to complete overdue cleaning and waxing of downtown sculptures. SLOMA Partnership: In 2025, the City entered its third two-year community partnership agreement with the San Luis Obispo Museum of Art (SLOMA). In February 2025, the public art piece Along the Way was installed in Garden Street Alley as a temporary installation for one to two years. SLOMA staff also worked with City staff to prepare for the installation of Shift at San Luis Ranch, as well as the next temporary sculpture rotation at the Mission Plaza Lawn upon completion of the Mission renovation project. Conclusion The City’s General Plan guides the use and protection of the City’s various resources to meet community needs. The General Plan reflects consensus and compromise among a wide diversity of citizen preferences within a framework established by state law. The General Plan is published as separately adopted elements, each containing its own policies and programs. The 2025 General Plan Annual Report summarizes the progress made in 2025 on major programs specified in the elements of the General Plan. One purpose of the annual report is to evaluate whether actions taken during the year indicate a change in the community’s overall vision that would require a more comprehensive update of the General Plan. In review of the work reported on in this annual report, such a comprehensive update is unnecessary at this time. Substantial progress was made by the City in 2025 related to implementation of key General Plan elements. These efforts were undertaken in pursuit of the City Council’s Major City Goals for FY 2023-2025. With the end of the 2023-2025 Financial Plan, the City, with extensive community engagement, established the 2025-2027 Financial Plan with a new set of Major City Goals that, as per usual, are aligned with the City’s General Plan. With these new goals, City staff will continue to implement policies and programs related to Cultural Vitality, Economic Resilience, and Fiscal Sustainability; Diversity, Equity, and Inclusion; Homelessness Response; Housing and Neighborhood Livability – Healthy, Safe, and Affordable; Infrastructure and Sustainable Transportation; and Open Space, Climate Action, and Resilience. Page 173 of 251 General Plan Annual Report 2025 64 Progress on implementation of these goals and objectives will be further reported in the 2026 General Plan Annual Report. Page 174 of 251 City of San Luis Obispo, Council Memorandum DATE: March 27, 2026 TO: City Council FROM: Timmi Tway, Community Development Director VIA: Whitney McDonald, City Manager PREPARED BY: Ethan Estrada, Associate Planner and David Amini, Senior Planner SUBJECT: City’s Growth Management Regulations – Status Update Memorandum-in-Brief This memo provides an overview of the history and background of the City’s Growth Management Regulations, as well as discussion regarding the City’s growth rate exceeding the one percent average annual growth rate threshold established in the Land Use Element for the first time in 2024. As described in this memo, there is no requirement for Council to take any specific action to address the one percent threshold being exceeded in 2024. Based on finaled building permits for the construction of new housing units for 2025, the average annual growth rate has dropped back to one percent in compliance with the threshold. Due to a decline in building activity city- wide, as well as the significant progress and completion of construction in specific plan areas such as Orcutt Area and San Luis Ranch, staff anticipates that the growth rate will lower further when final housing permit data is collected for 2026. Purpose The purpose of this memo is to provide Council with information and background regarding the City’s Residential Growth Management Regulations. As outlined in the 2024 General Plan Annual Report that was presented to the City Council on April 1, 2025, the City’s average annual growth rate was 1.03 percent per year between 2015-2024, which slightly exceeded the one percent threshold established in Land Use Element Policy 1.11.2. This growth rate is based on finaled building permits for the construction of new housing units (except those in the Downtown, Accessory Dwelling Units, and deed-restricted affordable housing units). Within the same timeframe, the City’s average annual population growth remained under one percent. This means that the housing unit growth did not directly correspond with a proportionate level of population growth. This could be due to the average number of persons per household shrinking over time, in addition to transient populations such as students and second home owners not being tracked by population data. Between 2015-2024, the average household size in the City decreased from 2.64 Page 175 of 251 Growth Management Council Memorandum Page 2 to 2.50 persons per household1. Since 2024 was the first time the City exceeded the one percent average annual growth rate, a number of questions arose around the threshold, including questions regarding whether the city was obligated to take action. These questions required additional research and the staff report for the 2024 General Plan Annual Report indicated a Council study session would be held to discuss the status of the City’s Growth Management Regulations. Additionally, the City’s 2025-27 Housing Major City Goal Work Program includes an item to conduct a study session on the growth management regulations. At the February 17, 2026 City Council meeting, staff presented the Q2 Budget Report which recommended presenting this work plan item to Council as a memo rather than a study session due to emergent community needs and an impacted agenda. Additional opportunities for Council discussion will be provided when the 2025 General Plan Annual Report is presented at a public hearing on April 7, 2026. Policy Context General Plan Land Use Element Policy (LUE) 1.11.1 states that the City shall manage its growth rate to provide for the balanced evolution of the community and the gradual assimilation of new residents. Growth must be consistent with the City's ability to provide resources and services and with State and City requirements for protecting the environment, the economy, and open space. LUE Policy 1.11.2 sets the growth rate of the City’s housing supply so that it does not exceed an average of one percent per year over the ten-year Housing Element planning period. The City’s Residential Growth Management Regulations in Chapter 17.144 of the Municipal Code are intended to assure that the rate of population growth will not exceed the City’s ability to accommodate new residents and to provide municipal services consistent with the maximum growth rates established in the General Plan. Also, these regulations are meant to ensure that those projects which best meet the City’s objectives for affordable housing, infill development, open space protection, and provision of public facilities will be allowed to proceed with minimum delay. Background The City has had a Growth Management policy since 1978, and Growth Management regulations since 1982. Though these terms sound the same, there are distinct differences between the policy and the regulations. The Growth Management policy lives in the Land Use Element, and requires the City to manage its growth rate so that it does not exceed an average of one percent per year. The City implements this policy through the Growth Management regulations in the Municipal Code. The regulations have been subject to various modifications and exceptions over the years and a brief history of the regulations are included below. 1 U.S. Census American Community Survey, https://data.census.gov/table/ACSDT1Y2024.B25010?q=B25010:+Average+Household+Size+of+Occupied+Housi ng+Units+by+Tenure Page 176 of 251 Growth Management Council Memorandum Page 3 Over time, the applicability of the Growth Management regulations has narrowed. The City’s current Growth Management Regulations only apply to development in specific plans in areas that have been or will be subject to annexation. Developments are required to adopt a construction phasing plan so that the one percent growth threshold is not exceeded. Figure 1 shows the areas subject to the phasing plan requirements of the Regulations outlined in various colors relative to each specific plan. These areas include San Luis Ranch, the Orcutt Area/Righetti Ranch, Airport Area, Margarita Area, Edna-Islay, and Froom Ranch. Figure 1: Specific Plans/Annexation Areas History of Growth Management Regulations • 1977: Council adopts General Plan Land Use & Growth Management Element. The Growth Management Objectives were set to achieve a gradually reduced rate of population growth, compatible and coordinated with the County’s growth rate reduction, both aimed at stabilizing and balancing with that of the State by 1990. The Objectives set the following average growth rates for each subsequent decade: o 4% annual average growth during the 1970s o 2% annual average growth during the 1980s Avila Ranch Orcutt Area San Luis Ranch Froom Ranch Edna-Islay Area Airport Area Margarita Area Margarita Area Airport Area Avila Ranch Froom Ranch Edna-Islay Orcutt Area San Luis Ranch Page 177 of 251 Growth Management Council Memorandum Page 4 o 1% annual average growth during the 1990s o The resultant, anticipated 1997 population was approximately 55,000. • 1978: Citizen Advisory Committee recommends permanent regulations regarding growth management • 1982: Council adopts permanent growth management regulations through Ordinance 940, placing limits on the amount of permits that can be issued for housing units, with the following exemptions: o Single family homes or duplexes o Replacement of damaged or destroyed dwellings o Additions or remodels which result in not more than two dwellings • 1983: Council exempts Mustang Village Addition (300 units) from the Growth Management Regulations (Resolution 5239) • 1984: Council amends regulations through Ordinance 1013. This allows building permit pauses under the growth management ordinance to be based on staff counting a 24-month rolling average period of building permits rather than 18 months. • 1985: Council exempts three projects from the Growth Management Regulations: o Southwood Apartments – 168 units (Resolution 5640) o Pine Creek Condominiums – 36 units (Resolution 5616) o Willowbrook Condominiums – 28 units (Resolution 5809) • June 1986: Council amends regulations through Ordinance 1068 to add the following: o Tabulation and ranking of building permits to be calculated every 3 months rather than monthly o Exception for student housing is removed o Any planned-development or specific plan with its own growth management provision is now exempt o Scoring standard for projects changed (scoring standards are to evaluate projects against each other for permit issuance if yearly allocation of permits is exceeded) o In first quarter after amendments, 100 units are to be allocated, then allocations move back to 75 units per quarter. • August 1988: Council adopts Ordinance 1119 implementing Water Allocation Regulations (Chapter 17.89) into the Municipal Code. The new water regulations suspend the Growth Management Regulations during quarters where water-use increases are limited pursuant to the water use regulations. During these quarters, the water allocation process restricts growth in the City. This process establishes specific water reserve amounts for residential development (initially 101 acre-feet) which cannot be exceeded. After these reserves have been exhausted, no further development can occur until the reserves are replenished by “safe annual yield” amounts determined by the Utilities Manager. • The City population grows on average, at the rate of 2.2% per year from 1980 through 1988. Page 178 of 251 Growth Management Council Memorandum Page 5 • 1989: Council votes to place an advisory measure on the ballot asking residents whether the City should amend the Growth Management Regulations to apply to all development in the City. The measure passes. In 1994, the City updates the Land Use Element with a policy that focuses the 1 percent growth threshold towards annexation areas. In 1999, Council amends regulations to only apply to annexation areas. While these changes are contrary to the approved ballot measure, staff currently believes the focus on expansion areas was of a practical nature given that this is where the majority of new housing unit production occurs. • 1994: Council adopts new General Plan Land Use Element. Program 1.11.3 states that before a residential expansion area is developed, the City must have adopted a specific plan or development plan that provides for phased development that does not exceed the 1 percent average annual growth rate. • 1999: Council adopts Ordinance 1359, containing new growth management regulations which now only apply to housing annexation areas of the City consistent with the updated Land Use Element. The ordinance requires the City to adopt a Phasing Schedule allocating potential residential construction among these areas. Council adopts Resolution 8972 establishing Phasing Schedule. Development in these areas is subject to specific plans or development plans that shall contain provisions consistent with the Phasing Schedule. Dwellings affordable to very-low and low income residents are exempt from the regulations. • October 2004: Council adopts Ordinance 1459, exempting downtown residential development and affordable moderate-income housing from Growth Management Regulations. • June 2010: Council adopts Ordinance 1550, amending growth management regulations. Instead of adopting a Phasing Schedule, each specific plan is required to adopt its own phasing schedule that allocates timing of construction consistent with the general plan and regulations. The Water Allocation Regulations are also repealed, as multiple projects have taken place resolving water and wastewater capacity issues in the City that necessitated the regulations. • September 2018: Council adopts Ordinance 1650, which includes amendments to growth management regulations to include accessory dwelling units as exempt from the regulations. The City’s approach to growth management has evolved over time to reflect development patterns, the community’s needs, and City Council goals with regard to housing. The Growth Management Regulations have been amended over time to effectively accommodate planned, phased growth in specific plan developments in annexation areas in compliance with the Growth Management policy and associated 1 percent growth threshold. Page 179 of 251 Growth Management Council Memorandum Page 6 Previous State Review of Growth Management Policy In the process of certifying the City’s 6th Cycle Housing Element, the California Department of Housing and Community Development (HCD) reviewed the City’s Growth Management Regulations, in particular the one percent growth rate set in the Land Use Element. HCD warned the City that the Housing Crisis Act, specifically Government Code Section 66300(b)(1)(D) does not allow affected jurisdictions to adopt new or enforce existing limits on the number of land-use approvals or permits for housing. HCD further states that the City should evaluate consistency with these requirements and if necessary, immediately void or suspend the annual growth cap. The City responded to this direction by stating that per state law, an affected county or affected city may enforce a limit on the number of approvals or permits or a cap on the number of housing units that can be approved or constructed if the provision of law imposing the limit was approved by voters prior to January 1, 2005, and the affected county or affected city is located in a predominantly agricultural county. For the purposes of this subparagraph, “predominantly agricultural county” means a county that meets both of the following, as determined by the most recent California Farmland Conversion Report produced by the Department of Conservation: (i) has more than 550,000 acres of agricultural land; and (ii) at least one-half of the county area is agricultural land. The City of San Luis Obispo resides within a county that has over 550,000 acres of agricultural land and at least one-half of the county area is agricultural land. As noted above, the 1989 ballot measure was advisory and therefore is not a binding restriction of the City’s subsequent policy or regulatory actions. HCD did not inquire further regarding the ballot measure. On September 3, 2021, HCD certified the City’s 6th Cycle Housing Element. Current Growth Management Regulations The City’s current Growth Management Regulations state the following: 17.144.010 Purpose and justification. A. The regulations codified in this chapter are intended to assure that the rate of population growth will not exceed the city’s ability to accommodate new residents and to provide municipal services consistent with the maximum growth rates established in the general plan. Also, these regulations are to assure that those projects which best meet the city’s objectives for affordable housing, infill development, open space protection, and provision of public facilities will be allowed to proceed with minimum delay. B. San Luis Obispo is a charter city, empowered to make and enforce all laws concerning municipal affairs, subject only to the limitations of the city charter and the constitution and laws of the state. Regulation of the rate of residential development is a reasonable extension Page 180 of 251 Growth Management Council Memorandum Page 7 of municipal authority to plan overall development in furtherance of the public health, safety, and general welfare. C. According to the general plan land use element, the city should achieve a maximum annual average population growth rate of one percent. The reserve of developable land within the city and the capacity of proposed annexations could sustain growth rates which would exceed the objectives of the general plan. D. The growth rate policies of the general plan reflect the city’s responsibility to accommodate a reasonable share of expected state and regional growth. E. To avoid further imbalance between the availability of jobs and of housing within the city, the general plan also manages expansion of growth-inducing activities. The burdens of growth management are not being placed solely on the residential sector since it largely responds to demands caused by other sectors. F. Considering the likely levels of housing demand and construction throughout the housing market area, nearly coinciding with San Luis Obispo County, these regulations are not expected to affect the overall balance between housing supply and demand in the market area. These regulations will not impede and may help meet the needs of very low-, low-, and moderate-income households. 17.144.020 Allocations. A. Each specific plan that authorizes residential development shall adopt a phasing schedule that allocates timing of potential residential construction, including phasing of required improvements, consistent with the general plan and with these regulations. B. The limitations on residential development established by these regulations apply to new residential construction within certain areas that have been annexed to the city2 or that will be annexed to the city. Development in such areas is subject to development plans or specific plans which shall contain provisions consistent with these regulations. C. Allocations shall be implemented by the timing of issuance of building permits. D. Dwellings affordable and enforceably restricted to residents with extremely low, very low, low, or moderate incomes, as defined in the city’s general plan housing element, new dwellings in the Downtown Core, and legally established accessory dwelling units shall be exempt from these regulations. Enforceably restricted shall mean dwellings that are subject to deed restrictions, development agreements, or other legal mechanisms acceptable to the city to ensure long-term affordability, consistent with city affordable housing standards. In expansion areas, the overall number of units built must conform to the city approved phasing plan. E. It shall not be necessary to have dwellings allocated for a particular time interval or location to process and approve applications for general plan amendment, zoning 2 The Regulations do not define a date by which annexation has occurred for the growth limitations to apply. This language has been in the Regulations since 1999. Page 181 of 251 Growth Management Council Memorandum Page 8 regulations amendment, or other zoning action, subdivision application, or architectural review. 17.144.030 Periodic city council review and consideration of revisions The community development department shall provide status updates to the council concerning implementation of these regulations, coordinated with the annual report on the general plan. The status update will describe actual construction levels and suggest if revisions are necessary to maintain the city’s one percent growth rate. Discussion The City’s average annual growth rate slightly exceeded the one percent threshold for the first time in 2024. This was presented to Council with the General Plan Annual Report on April 1, 2025. During the time period between 2021-2024, several specific plan areas experienced significant housing construction, including Avila Ranch, Orcutt Area/Righetti Ranch, and San Luis Ranch. Avila Ranch and Orcutt Area are subject to phasing plans created to phase building permits in order to not exceed the one percent growth cap. San Luis Ranch was initially subject to a phasing plan, but was subsequently allowed to proceed with unphased construction based on a revised project description and the 2018 Supplemental EIR, which demonstrated that unphased construction of this 580-unit development would not exceed the growth cap. The unphased construction of San Luis Ranch, along with the phased construction of Avila Ranch and the Orcutt Area, as well as increased infill construction, all contributed to the growth rate slightly exceeding one percent in 2024. Based on finaled building permits for the construction of new housing units for 2025, the average annual growth rate has dropped back to one percent in compliance with the threshold. This information is included in the 2025 General Plan Annual Report that will be presented to Council at a public meeting on April 7, 2026. Due to a decline in building activity city-wide, as well as the significant progress and completion of construction in specific plan areas such as Orcutt Area and San Luis Ranch, staff anticipates that the growth rate will lower further when final housing permit data is collected for 2026. As previously discussed, HCD has cautioned the City against imposing a limitation on building permits as it could constitute a violation of state law. While the City did provide information as part of the 6th Cycle Housing Element asserting that enforcing the growth cap is allowed per a provision in the state law that was ultimately accepted by HCD, future enforcement could still be subject to action from the state. It is clear based on continuing legislation, housing related legal challenges and State level pro-housing policy that local policies such as the Growth Management Regulations have and are likely to continue to come under close scrutiny by HCD during the upcoming 7th Cycle Housing Element certification process in 2028. Through this process, Council may be directed to remove the growth management policies and regulations that are perceived to Page 182 of 251 Growth Management Council Memorandum Page 9 present a barrier to housing production, including the one percent threshold included in the Land Use Element, in order to receive housing element certification from HCD. In addition to the analysis above, the City’s rationale for maintaining the cap in the previous 6th Cycle Housing Element may not be upheld by HCD for the 7th Element, as the 1989 ballot measure was advisory and does not expressly prohibit contrary Council policies or regulations that would remove the current growth cap. The City still meets the criteria for being in a primarily agricultural county, which is a portion of the state law requirement and it is important to note that the City has not denied any housing development application or permit on the basis of the growth cap. Council Actions to Address Growth Management Threshold The growth management regulations do not require Council to take any action if the average annual growth rate exceeds one percent. The regulations proactively address the one percent threshold by requiring specific plans in areas subject to the regulations to contain phasing schedules for the timing of building permit issuance. Timing and implementation of phasing schedules in specific plan areas are the only currently allowable mechanism by which Council may address the growth management threshold in the Land Use Element consistent with the Growth Management Regulations. Council could amend the Regulations to address the growth management threshold differently; however, denials of development approvals or permits based solely on growth management regulations of any kind raise state law conflict concerns, as well as potential issues during the Housing Element process as described above, and would require careful analysis and coordination with HCD prior to taking any action that could be perceived as increasing restrictions on housing development. Recommendation The average annual growth rate is currently one percent and in compliance with the threshold. There is no action for Council to take at this time. Staff will continue to implement phasing schedules for new and existing specific plan areas as required by the regulations. Staff will address any Growth Management Regulations as part of the 7th Cycle Housing Element work program. Page 183 of 251 Page 184 of 251 Item 8a Department: Administration Cost Center: 1005 For Agenda of: 4/7/2025 Placement: Study Session Estimated Time: 60 minutes FROM: Greg Hermann, Deputy City Manager Prepared By: Chris Read, Sustainability Manager SUBJECT: COMMUNITY CLIMATE ACTION PLAN PROGRESS REPORT AND 2027 PLAN UPDATE STUDY SESSION RECOMMENDATION 1. Receive and file the 2026 Climate Action Plan Progress Report. 2. Provide strategic direction on the 2027 Climate Action Plan update . 3. Direct staff to join the Local Government Climate Alliance to advocate for pre - approved positions via the City’s adopted Legislative Action Platform to advance Council goals related to the Climate Action Plan, and delegate City participation in the organization to the City Manager or their designee. REPORT-IN-BRIEF This Council Agenda Report provides the 2026 Climate Action Plan Progress Report1 (Report) and provides background information to support Council’s strategic guidance on the upcoming 2027 Climate Action Plan update. The Report provides updated greenhouse gas (GHG) emissions inventory and forecast snapshots, reports on implementation progress to date, identifies implementation headwinds and momentum, and looks ahead to how the City can enable continued emissions reductions in support of its goal of carbon neutrality by 2035. The Report finds that while the City has made real progress, emissions reductions related to natural gas and transportation are falling behind previous projections, and as a result, the City is not on target to meet original projections. The report also notes that the City is on track to achieve local reductions con sistent with the state’s 2030 targets, but projections show implementation of the current CAP falling short of the new legislatively mandated statewide goal of net-zero greenhouse gas emissions by no later than 2045 (AB 1279). 1 The progress report covers communitywide greenhouse gas emissions. While this report references the City’s municipal operations climate action work, known as Lead by Example, it does not go into detail on Lead by Example, nor does it provide new analysis on Lead by Example. The Lead by Example: A Plan for Carbon Neutral Municipal Operations progress report was presented to Council in May of 2024, and the Plan update was adopted by Council in February of 2025. The next progress report for Lead by Example is scheduled to be presented to Council in 2028. Page 185 of 251 Item 8a Staff conducted community outreach, engaged with stakeholder groups and regional agency partners, and sought input from technical experts in advance of this Study Session. This research will support the 2027 Climate Action Plan update (2027 CAP update) by affirming successful actions that should be continued, identifying actions that should be modified or tried again, and proposing initial new ideas that could meaningfully reduce emissions through 2035 and beyond. Potential actions proposed to be modified or tried again include: (1) re-evaluation of mobility innovations related to bikeshare, carshare, and micro-transit, (2) enhanced support for regional transit and EV charging infrastructure, (3) re-evaluation of a large building energy efficiency program, (4) evaluation of the new single-family Home Energy Score program, and (5) proactive legislative advocacy. Potential new ideas that could be considered include: (1) evaluation of bulk purchasing and direct installation programs for rooftop solar, batteries, and heat pump water heater and HVAC units, and (2) support for “plug-in” solar and battery energy storage systems. This Council Agenda Report includes three key questions for Council: 1. Which of the potential actions described above, and summarized below, should be further evaluated as part of the 2027 Climate Action Plan Update? 2. Does Council want to retain its local 2035 target? 3. Does Council have further direction or feedback on the proposed outreach, engagement, and plan update approach to the 2027 CAP Update? Following the Study Session, staff will transition to preparation of the 2027 Climate Action Plan, which is expected to be presented for Council’s consideration in early 2027. POLICY CONTEXT The City’s General Plan includes numerous policies and programs related to clean energy, energy efficiency in buildings, housing, mobility, transportation, landfilled solid waste, and natural resource management topics included in the Climate Action Plan. For brevity, this policy context section references only General Plan policies that directly mention or are related to climate action planning, including:  Land Use Element of the General Plan Policy 9.4 (Climate Action Plan) - The City shall maintain and implement its Climate Action Plan to reduce comm unity and municipal GHG emissions consistent with State laws and objectives.  Conservation and Open Space Element of the General Plan Policy 2.2.1 (Atmospheric Change) - City actions shall seek to minimize undesirable climate changes and deterioration of the atmosphere’s protective functions that result from the release of carbon dioxide and other substances.  Housing Element of the General Plan Policy 9.1 - Residential developments should promote sustainability consistent with the Climate Action Plan (CAP) and California Building Energy Efficiency Standards (Title 24) in their design, placement, and functionality. Page 186 of 251 Item 8a  Circulation Element of the General Plan Transportation Goal 1 – Maintain accessibility and protect the environment throughout San Luis Obispo while reducing dependence on single-occupant use of motor vehicles, with the goal of achieving State and Federal health standards for air quality. These General Plan policies are implemented as follows:  Resolution 11159 (2020 Series) adopted the Climate Action Plan for Community Recovery with the goal of community carbon neutrality by 2035 and a sub -goal of 50 percent reduction in emissions from existing buildings by 2030, and  Resolution No. 11381 (2022 Series) reaffirmed these goals and adopted a work program for fiscal years 2023-27, including Administrative Action 2 (Monitor and Report Plan Implementation) and Administrative Action 3 (Regularly Update the Climate Action Plan). Currently, the Climate Action Plan Update is a work program item in the 2025-27 Financial Plan’s Major City Goal for Open Space, Climate Action, and Resilience. Action 1.c directs staff to complete the 2027-2031 Climate Action Plan and GHG Inventory Update by early 2027. Though the Major City Goal Work Program for the 2025-27 Financial Plan organizes its work into five discrete topic areas (economic resilience, diversity equity and inclusion, housing, infrastructure and sustainable transportation, and sustainability), these goals are cross-cutting, and many of the tasks within the goals depend on and reinforce each other. DISCUSSION Background The City of San Luis Obispo has a long history of energy and resource conservation and has been taking intentional action on these topics since at least the early 1980s. More recently, in 2017, Council made Climate Action a Major City Goal, and since then, staff and community members have worked to make substantial greenhouse gas emissions reductions and advance local climate solutions, while supporting related goals (i.e., housing, diversity, equity and inclusion, economic development, and community resilience). In 2020, the Council adopted the Climate Action Plan for Community Recovery (CAP), which set a goal of communitywide carbon neutrality by 2035. The CAP charted a course for an approximately 70 percent reduction in emissions by 2035, while acknowledging that the remaining 30 percent had no known reduction pathway and would require technological breakthroughs, significant new external funding sources, and unprecedented alignment across federal, state, and regional governments to get to full carbon neutrality. In adopting a goal of carbon neutrality by 2035, Council acknowledged the value of having an aspirational goal, despite the uncertainty associated with full achievement of that goal. Page 187 of 251 Item 8a As outlined in the 2020 CAP, the City commits to providing a progress report to the community and City Council every four years. These progress reports are scheduled ahead of each plan update , which also occur every four years. The most recent CAP update, adopted by City Council on December 13, 2022, is the 2023-27 Climate Action Plan Work Program. 2026 Climate Action Plan Progress Report The 2026 Climate Action Plan Progress Report (Report) (Attachment A) includes information about the City’s Climate Action Plan, an updated greenhouse gas emissions inventory and forecast snapshot, and a detailed review of implementation progress from the 2023-27 Climate Action Plan Work Program. The Report is organized into the following Chapters:  Chapter 1 - Progress Report Background shares information about the history of climate action in San Luis Obispo and provides the context for the progress report.  Chapter 2 - Greenhouse Gas Emissions Inventory and Forecast Snapshots updates historic greenhouse gas emissions inventories, provides a 2024 inventory update, and forecasts emissions for 2030, 2035, and 2045.  Chapter 3 - Climate Action Progress by Pillar explains the different sectors of the Climate Action Plan, reports on implementation progress to date, identifies implementation headwinds and momentum, and looks ahead to how the City can support continued emissions reductions in support of its goal of carbon neutrality.  Appendix A - provides detailed information about the implementation status of all 48 actions in the 2023-27 Climate Action Plan Work Program. GHG Inventory Snapshot In 2020, the City estimated that approximately 60% of inventoried communitywide greenhouse gas (GHG) emissions were from transportation, with nearly 80% of those emissions attributable to regional travel. The remaining inventoried emissions were from electricity, natural gas, and landfilled solid waste. The 2020 CAP projected that by 2035, electricity and organic waste emissions could be nearly eliminated, approximately 50% of natural gas emissions could be reduced, and roughly two -thirds of transportation emissions could be reduced. Updated analysis projects 2035 electricity and solid waste emissions reductions to occur roughly as projected. However, natural gas and transportation emissions are declining more slowly than anticipated, and regional travel, where emissions reductions are having to overcome higher than expected regional growth, remains the largest source of remaining emissions in the updated 2035 forecast. While the 2020 CAP anticipated that the City could reduce overall emissions by about 70% by 2035, given these slower than anticipated reductions in natural gas use and regional transportation emissions, staff estimate that the City is on track to reduce emissions by about 50% by 2035. Page 188 of 251 Item 8a It should be noted that, as described in Attachment A, the City inventories and forecasts GHG emissions consistent with guidance provided by the California Air Resources Board. The GHG emissions sectors included in the City’s inventory are required sectors under state guidance and exclude optional sectors associated with off-road equipment, wastewater treatment, and aviation, among other things.2 The “narrow and deep” approach to pursuing ambitious action (i.e., focusing on deep reductions in the required emissions sectors only) is consistent with direction Council provided at the December 14, 2022 adoption of the 2023-27 Climate Action Work Program. Implementation Progress As part of the progress report, staff reviewed all 48 CAP actions. The City has seen success in all emissions sectors, with the deepest reductions coming in clean electricity (via Central Coast Community Energy) and solid waste (via SB 1383 implementation). In these sectors, early action has driven substantial reductions and set the foundation for deep reductions through 2035 and 2045. Even where emissions reductions are falling short, CAP implementation is significantly reducing emissions relative to “no-action”. Actions ranging from investing in active transportation infrastructure to supporting low-income energy efficiency upgrades are driving measurable progress towards carbon neutrality. However, external factors are playing a larger-than-expected role and are presenting new constraints. For example, anticipated federal grant funding for a large building energy retrofit program was cancelled in 2025, leaving commercial natural gas use on track for only modest declines through 2035. Regional growth is also expected to increase regional single-occupancy car trips into San Luis Obispo through 2035, leading to an increase in regional vehicle miles travelled (VMT), which is the emissions source that the City has the least ability to influence. While the City plays an important role in reducing transportation emissions through strategies like housing production (so people can live closer to where they work), active transportation, and transit investments, many of the factors that shape how far people travel in the region are outside the City's control, including the rural nature of the area, regional economic growth, and jobs and housing production in adjacent communities. In addition to continued focus on areas the City has direct control over, enhanced coordination with regional transportation partners will be necessary to address these trends. California’s Legislative Climate Targets The City’s 2035 carbon neutrality goal is a local policy preference, and it sits inside California’s evolving greenhouse gas emissions legal framework. The City’s climate action efforts are now informed by two statewide GHG emissions targets that have been adopted or clarified since the adoption of the 2020 CAP:  SB 32 sets a 2030 regulatory goal to reduce statewide greenhouse gas emissions to 40 percent below 1990 levels. Since 2020, new best practices have emerged on how cities should operationalize this goal and the City’s current analysis finds 2 The Lead by Example Plan provides an estimate of direct emissions from wastewater treatment for informational purposes. For more information, see the Lead by Example Council Agenda Report at: https://opengov.slocity.org/WebLink/DocView.aspx?id=218409&dbid=0&repo=CityClerk&cr=1 . Page 189 of 251 Item 8a that with implementation of the existing CAP, the City is on track to achieve this goal.  AB 1279 sets a 2045 regulatory goal of achieving net‑zero emissions “as soon as possible,” and no later than 2045, with at least an 85 percent reduction in emissions by that date.3 The City’s analysis shows that the implementation of the current Climate Action Plan puts the City on track for approximately a 75% reduction by 2045, which is nearly consistent with AB 1279’s requirements of an approximately 85% reduction by 2045, but a gap of about 10% remains. 2026 Progress Report Key Findings Based on the work completed for the Report, staff have identified four key takeaways: 1. The City’s leadership and investments in climate action produce measurable results, invite outside resources (including over $57 million in external funding for CAP implementation actions since 2020), and demonstrate the effectiveness of sustained local leadership. 2. Regional, state, and federal policy changes are introducing new constraints on local climate progress. 3. Regional vehicle trips and natural gas use in existing buildings remain the most significant obstacles to achieving Council’s 2035 community carbon neutrality goal. 4. Persistent local innovation and creativity will be required to reach carbon neutrality. 2027 Climate Action Plan Update Given the information provided above, a key task of the CAP update is identifying a work program that puts the City on a trajectory to achieving it’s adopted carbon neutrality target, in addition to ensuring that the City is on track to reach California’s 2030 and 2045 statewide legislative targets. To set the stage for the 2027 CAP update, staff prepared comprehensive information on implementation progress for Council’s consideration, as well as findings from stakeholder outreach and technical research on how to increase the pace of emissions reductions.4 Staff, with support from participants in the community outreach process, identified which actions might be paused or continued, as well as which actions merit revisiting that did not succeed the first time. In addition, some new ideas were considered that could further reduce emissions through 2035 and beyond. The remainder of this report identifies the types of actions that could be enhanced, reimagined, or newly proposed as part of the 2027 CAP update. 3 The guidance for establishing an 85% reduction assumes statewide carbon sequestration initiatives achieving the other 15% as modeled by the California Air Resources Board and included in its 2022 Climate Scoping Plan. 4 Technical analysis conducted ahead of this Study Session includes comparative review of 15 of the most ambitious and effective Climate Action Plans in California, conversations with staff from cities with similar carbon neutrality goals throughout the US, review of research prepared for state agencies including the California Energy Commission, Public Utilities Commission, CalRecycle, and the California Air Resources Page 190 of 251 Item 8a Implementation of Climate Action Plan actions occurs collaboratively across multiple City departments and divisions. As the 2027 Climate Action Plan Update is developed, staff will continue to evaluate how proposed actions align with departmental work programs and operational capacity. The ideas below represent an illustrative but not exhaustive list of potential actions, and additional analysis and outreach may result in different or additional recommendations. Actions to Improve, Expand, or Retry Based on technical analysis and community feedback, the following actions exemplify the types of 2020 CAP actions that staff recommends improving, expanding, or retrying. Actions in this category would be subject to additional analysis prior to inclusion in the 2027 CAP update and fall into three main categories: 1. Transportation a. Mobility Innovations. There are opportunities to re-evaluate innovative programs that complement SLO Transit, including the further evaluation of bikeshare, carshare, and micro-transit programs. Bikeshare and carshare programs can play an important role in supporting households with one or zero personal vehicles and in facilitating a transition away from single - occupancy vehicle travel. Micro-transit, which can take a wide range of forms, but has typically operated in other California cities like a public ride share service, can further support transit ridership by providing strategically targeted service in areas or times where overall fixed-route ridership is low. To date, neither bikeshare nor carshare programs have demonstrated long- term viability in San Luis Obispo under a model that requires no financial contribution from the City. However, conditions may be shifting for bikeshare, and staff will continue to monitor market developments and provide updates to the community and City Council as appropriate. Carshare services remain more challenging to implement under the current model, but emerging approaches, including the development of autonomous vehicles, have the potential to disrupt existing business structures and may improve the feasibility of similar services in San Luis Obispo in the future.5 Micro-transit is being used in other California cities to serve low-ridership areas or times. A micro-transit program could potentially enable fixed-route networks to shift more from coverage to ridership growth. Given the wide range of program design options and related costs, the viability of a micro- transit program that would be optimal in San Luis Obispo is currently unknown. A study is underway to evaluate operational considerations and constraints of a potential pilot program. Board, and review of articles by national technical experts at the forefront of issues like clean energy and mobility. 5 As noted in the 2026 Progress Report, private carshare providers previously shared with staff that the City lacks the population required to operate a program. Staff are currently reconnecting with providers to test whether that assumption is true in 2026. Page 191 of 251 Item 8a Staff recommends further analysis and potential inclusion of these actions in the 2027 CAP due to their ability to reduce vehicle miles travelled (VMT), support increased transit ridership and transportation mode integration, and make continued progress on the City’s mode split goals. b. Regional Transit. Regional transit remains a critical tool for reducing vehicle miles traveled across San Luis Obispo County and the broader region. There is a continuing need for increased and stable funding to support ongoing transit operations. While the City does not directly administer regional transit, it does have representation on regional transportation agencies that provide transit service. Staff recommends further analysis and potential inclusion of actions that support regional transit, as well as other actions that have the potential to reduce the City’s largest source of emissions (regional VMT) such as continued support of electric vehicle (EV) uptake and associated EV charging infrastructure. 2. Existing Buildings – In 2025, staff conducted a Study Session for Council discussing the different building energy retrofit policy options that are available to a City for emissions reductions.6 Since then, staff have been implementing Council’s strategic direction to develop voluntary energy reporting programs as described below and opportunities for accelerated emissions reductions exist in the following areas: a. Large-Building Retrofits: As previously noted, the City had expected to be competitive for a Department of Energy grant that would have covered the cost of developing and staffing a large-building retrofit program (commonly referred to as a “Building Performance Standard”). With the dissolution of the funding source in 2025, staff pivoted to completing initial tasks that could be conducted with existing resources, including identifying approximately 100 buildings that exceed 50,000 square feet and approximately 150 buildings between 25,000 and 50,000 square feet. Staff have also set up the no-cost digital infrastructure that can enable initial voluntary reporting of energy performance for buildings of this size. Voluntary disclosure can provide education and awareness about cost savings associated with retrofits and can connect building owners with rebates and incentives to complete those retrofits.7 As discussed at the July 2025 Study Session, if emissions reductions from voluntary disclosure are not sufficient to meet the City’s goals, the City could consider mandatory reporting or retrofit requirements. Additional resources would be required to transition to a mandatory reporting program. Further, any program that requires mandatory retrofits would need substantial additional resources and staffing. In the near term, staff anticipates developing relationships with 6 For more information about existing building retrofit policy options and considerations, see the Council Agenda Packet developed for Council’s July 15, 2025 Study Session on the topic at: https://pub- slocity.escribemeetings.com/filestream.ashx?DocumentId=20844 7 Examples of current rebates, incentives, and technical assistance for commercial building retrofits include the 3C-REN Commercial Energy Savings Program, the PG&E on-bill financing program, and the Central Coast Leaders in Energy Action Program - Energy Advisor Service. Page 192 of 251 Item 8a building owners and sharing resources that support voluntary retrofits as discussed in the July 2025 Study Session. Staff recommends further analysis and potential inclusion of a Building Performance Standard action in the 2027 CAP update that focuses on assessing voluntary disclosure success and, if needed to reach the City’s goals, identifying and securing grant funding to support further program development. b. Single Family Home Energy Disclosure. The City has successfully advocated to the Bay Area Regional Energy Network (BayREN) to bring the statewide Home Energy Score program to San Luis Obispo. The Home Energy Score provides homeowners with a standardized assessment of their home's energy performance, rated by a certified, independent assessor. The assessment evaluates current energy consumption and associated costs, and produces tailored recommendations for cost-effective efficiency improvements. As with large-buildings, voluntary disclosure can provide education and connect homeowners with resources to support energy retrofits. The program is expected to launch in mid-2026, and staff will assess its effectiveness in its initial years of operation. A potential action in the 2027 CAP could direct staff to assess the effectiveness of the voluntary disclosure program, and if results are insufficient to achieve the City’s goals, to evaluate the potential costs and benefits of a mandatory disclosure or retrofit program. 3. Proactive Legislative Action – The 2023-27 CAP Work Program includes an action to advocate for legislation supporting CAP implementation. The City has since updated its Legislative Action Platform to reflect local climate priorities and submitted letters in support of and opposition to state legislation accordingly. To more effectively influence legislative outcomes, staff recommend joining the Local Government Climate Alliance (LGCA), a new consensus -based organization currently hosted by the City of Santa Barbara. An informational sheet about LGCA is provided as Attachment B. As of March 6, the LGCA has 10 member cities and counties representing 4% of California's population. Membership provides access to a lobbyist with deep energy sector expertise and a collective local go vernment approach to shaping climate-specific legislation, with particular focus on electricity affordability. Because the LGCA is consensus-based, if the City were a member, the organization would only formally take a position on legislation if the City a nd all other LGCA members approve of the position. City staff would use the City's adopted Legislative Action Platform to evaluate whether to support legislative positions considered by LGCA. If Council approves joining LGCA and delegates authority to the City Manager’s designee, it is suggested that the role be staffed by the Office of Sustainability and Natural Resources. Membership would cost $1,500 annually, which staff believe can be covered by reallocating existing budget from memberships in lower-impact sustainability-focused professional organizations. Page 193 of 251 Item 8a New Ideas A recurring theme throughout technical analysis and the outreach conducted to date is a shortage of new transformative ideas capable of rapidly reducing emissions. This reinforces the significance of the "Improve, Expand, or Retry" category. Nonetheless, several new ideas did emerge and are provided below as an example of the types of things the City could explore as part of the 2027 CAP Update. New ideas include: 1. Energy and Buildings – The City could explore a municipally supported program for bulk-purchasing and direct installation of solar panels, battery storage, and heat pumps, modeled on similar programs in Ann Arbor, MI, and Palo Alto, CA. This program could address two key barriers to building electrification retrofits: price uncertainty for customers and inconsistent demand for local installers by offering fixed-price purchasing to property owners and tenants, while providing a reliable pipeline of work for local installers. Because start-up costs, operating costs, and staffing needs require further evaluation, a 2027 Climate Action Plan (CAP) action would likely take the form of directing staff to conduct a n initial feasibility study. Staff recommends further analysis and potential inclusion of this action in the 2027 CAP because of its potential to make voluntary retrofits more accessible and reduce the cost and complexity of complying with any future retrofit requirements. 2. Energy and Buildings – There is currently a national movement in support of solar and battery energy storage systems that can be purchased “off the shelf” and plugged into standard wall outlets, providing cost savings and resiliency benefits for community members (renters, mobile and manufactured home resident s, and apartment occupants, among others) that have not traditionally been able to benefit from clean energy. The City could play a role in streamlining local rules to ensure these systems, which are not grid connected, are installed safely with limited administrative and permitting obstacles. These systems generate local renewable energy, reduce electricity demand during peak hours, and can increase the long-term cost effectiveness of efficient electric appliances for consumers. In addition, new technologies are available that provide low-cost window heat pump units for zero emissions heating and cooling, and induction cooktops that plug in to standard outlets, among other things. As over 60% of San Luis Obispo residents are renters, these off the shelf systems provide a whole new segment of the community with access to green buildings solutions. The City can also advocate to regional rebate incentive providers (e.g., 3CE and 3CREN) to provide renter focused programs. Staff recommends further analysis and potential inclusion of a “plug in solar” supporting action in the 2027 CAP update because of its potential to reduce emissions and support issues related to renters’ access to clean energy and energy affordability. Updated Ideas and Progress to Carbon Neutrality Based on initial quantification estimates conducted by staff, should the actions above prove feasible, it is expected that implementation of the current CAP, together with these actions, could improve the margin by which the City complies with the statewide 2030 target and put the City on track to achieve the 2045 target. In this scenario, staff forecasts an approximately 65% reduction in emissions by 2035 relative to baseline, 35% short of the carbon neutral by 2035 target. Similar to the discussion had in 2020, closing this gap Page 194 of 251 Item 8a would require technological breakthroughs, significant new external funding sources, and deep alignment across federal, state, and regional governments. Staff recommends that all of the ideas presented above be further evaluated for potential inclusion in the 2027 CAP and requests that Council flag any actions that they think should not be further evaluated. Should Council direct staff to continue updating the Climate Action Plan, the rest of 2026 will be spent evaluating th ese ideas, along with new ideas to further reduce emissions that might be provided by community outreach or additional technical research. Additional details about schedule and next steps are provided at the end of this report. Previous Council or Advisory Body Action  July 17, 2012 – City Council adopted the community’s first Climate Action Plan.  September 18, 2018 – City Council directed staff to pursue the 2035 carbon neutrality goal and directed staff to update the Climate Action Plan with strategies and options to achieve the 2035 goal.  August 18, 2020 – City Council adopted the Climate Action Plan for Community Recovery, which included the goal of carbon neutrality by 2035.  May 18, 2021 – Staff presented the 2020-21 Climate Action Progress Report to City Council, which highlighted key Climate Action Plan implementation milestones achieved in 2020 and 2021.  July 6, 2021, Council adopted Lead by Example: A Plan for Carbon Neutral Municipal Operations, which identified goals, objectives, and actions for achieving the City’s municipal operations climate goal.  December 13, 2022 – Council adopted Resolution No. 11381 (2022 Series) and adopted the 2023-27 Climate Action Plan Work Program, which identified 48 CAP actions for fiscal years 2023-27.  June 6, 2023 – Council adopted the 2023-25 Financial Plan, prioritizing "Open Space, Climate Action, and Sustainable Transportation" as a major city goal.  May 21, 2024 - Lead by Example: A Plan for Carbon Neutral Municipal Operations progress report was presented to Council in May of 2024  February 4, 2025 - Lead by Example: A Plan for Carbon Neutral Municipal Operations plan update was adopted by Council.  June 17, 2025 – Council adopted the 2025-27 Financial Plan, prioritizing "Open Space, Climate Action, and Resilience" as a major city goal. Public Engagement 2026 Progress Report Outreach Staff have conducted the following public engagement efforts to inform that 2026 Progress Report and to begin looking ahead to the 2027 Climate Action Plan Update. The engagement conducted for this study session builds on recent engagement efforts conducted for the “Existing Building Energy Efficiency Retrofit Policy Options” study session conducted by Council on July 15, 2025, and the “Lead by Example” business item conducted by Council on February 4, 2025.  Community Roundtables – Staff convened community-based organizations (e.g., Page 195 of 251 Item 8a ECOSLO, SLO Climate Coalition, the Diversity Coalition of San Luis Obispo, Chamber of Commerce, Sierra Club, etc.), regional public agencies (e.g., SLO APCD, SLOCOG, Central Coast Community Energy, Cal Poly, etc.), and community experts for seven roundtable meetings between December and February. The meetings focused on connecting organizations on t he topic of Climate Action, providing educational information about the City’s approach to carbon neutrality, and hosting generative discussions on what actions the City should stop doing, keep doing, or improve, as well as big new ideas for the City to consider. In total, over 50 community members and regional agency representatives participated in the stakeholder forums.  Community Workshops – Staff conducted an in-person communitywide workshop on March 10 and an on-line communitywide workshop on March 11. The workshops provided the background and context information in this report and sought feedback on topics related to GHG emissions reductions goals, recommendations for improving implementation success, and ideas for achieving additional emissions reductions. Stakeholder groups were invited to attend, including the Developers’ Roundtable, local realtors, and Active Transportation Committee members. In total, 31 community members participated in the workshops.  Presentations to local organizations - Staff provided an overview of the Progress Report and highlighted strategic questions that will be presented to Council at the following meetings: o Chamber of Commerce Economic Development Committee (March 5), and o Climate Coalition Executive Director and Board Chair Meeting (March 9). The public engagement directed the content of the 2026 Progress Report and this Council Agenda Report in the following ways: 1. Each of the roundtable meetings provided community members with an exercise to provide feedback on which CAP actions should be set aside, which actions were working as currently conceived, which actions should be amended, enhanced, or tried again. Additionally, participants were asked to share new ideas that might be included in the 2027 CAP. Combined with technical research. this feedback was critical in identifying the initial set of actions that could be included in the 2027 CAP, as described above. The feedback also affirmed that the City’s current approach to carbon neutrality is supported and that the 2027 Plan Update should look more like small changes and refinements to the existing plan rather than a comprehensive rethinking of the City’s approach. 2. In each of the outreach events, staff shared the progress that is expected to be made by 2035, described the gap between that progress and the 2020 CAP’s goal, and shared information about the new statewide goal of carbon neutrality “as soon as possible, but no later than 2045” (AB 1279). Staff tested whether the City should continue with the 2035 goal given the known gap and the general feedback was aligned with the sentiment that the value of having an aspirational goal is worth the uncertainty that comes with it. 3. In each of the outreach events, staff also asked for ideas on how to have an Page 196 of 251 Item 8a excellent community outreach program that supports the 2027 CAP update. Staff found that community members, community-based organization leaders, and regional agency staff shared enthusiasm in collaborating on unique, fun, informational, and effective events. 2027 Climate Action Plan Update Outreach The outreach described in this report represents the initial phase of engagement and will be complimented by extensive additional outreach during the CAP update process which will occur throughout 2026. In addition to standard community workshops, surveys, and conversations with stakeholders, notable planned outreach events include:  Pop-up outreach efforts at existing neighborhood and community level-events such as Monday Meetups, Earth Fest, and neighborhood farmers’ markets.  Collaborating with existing community cultural events such as Building a Better SLO’s lecture series.  Community service events where participants take action to improve their community while learning about and providing feedback on the 2027 CAP.  Offering presentations and conversations with civil society organization boards such as the Rotary Club and the Lions Club. It should also be noted that, consistent with the approach taken in support of the 2020 CAP, staff broadly interprets what “stakeholder” means in the context of climate action planning and intends to engage with a wide cross-section of the community (e.g., builders, developers, realtors, mobile home park residents, students, renters, seniors, and non- English speakers, among others). CONCURRENCE The City’s Green Team collaborated on the development of the 2026 Progress Report and concurs with the content therein.8 This Council Agenda Report also has concurrence from leadership in Public Works and Utilities, and Community Development. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. The updated 2027 Climate Action Plan is a “Project” and will be subject to environmental review prior to being presented to Council for approval. The City adopted an Initial Study/Negative Declaration in 2021 prior to adoption of the Climate Action Plan Update, and any subsequent updates require review of this previous document to determine the appropriate environmental documentation and associated required findings (i.e., findings of consistency with the adopted IS/ND, Addendum to the IS /ND, or 8 The City’s Green Team is a cross-departmental group of staff that helps coordinate efforts across City functions. The Green Team enables shared ownership of climate goals, integrates sustainability into day- to-day operations, and supports an all-City approach to achieving municipal and communitywide emissions reductions. Page 197 of 251 Item 8a subsequent or supplemental documentation). The City has already retained the services of an environmental consultant to conduct the environmental review in 2026, ahead of returning to Council with the plan update in 2027. FISCAL IMPACT Budgeted: Yes Budget Year: 2025-26 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $30,000 $ $ $ State Federal Fees Other: Total $30,000 $ $ $ As anticipated in the 2025-27 Financial Plan, staff have the internal capacity to complete the Climate Action Plan “in house,” except for environmental review which is anticipated to cost $30,000. This amount is budgeted and available to cover the scope of work. The 2027 CAP Update is intended to be presented to Council in early 2027 to inform the deliberative process being undertaken as part of the 2027-29 Financial Plan and will provide staff’s recommendation for the tasks required to achieve state GHG reduction goals and make progress on local GHG reduction goals. The City’s budget development occurs via a separate process, and inclusion of any projects or programs in the City’s budget are subject to Council approval. Funding for tasks included in the 2027 CAP Update would require additional Council deliberation and approval and would not pre- emptively approve or otherwise imply that they are automatically included in future budgets. QUESTIONS FOR COUNCIL 1. Which of the potential actions described above, and summarized below, should be further evaluated as part of the 2027 Climate Action Plan Update? The purpose of this Study Session is to provide strategic direction that will inform development of the 2027 Climate Action Plan Update. Specific policies, programs, and implementation strategies will return to Council for consideration as part of the draft plan. Staff recommends further evaluation of all seven items included below and requests that Council flag any actions they believe should not be further evaluated for the 2027 CAP update. Potential actions proposed to be modified or tried again include: Page 198 of 251 Item 8a 1. Re-evaluation of mobility innovations related to bikeshare, carshare, and micro- transit. 2. Enhanced support for regional transit and EV charging infrastructure. 3. Re-evaluation of large building energy efficiency programs. 4. Evaluation of the new single-family Home Energy Score program. 5. Proactive legislative advocacy. Potential new ideas that could be considered includ e: 6. Evaluation of bulk purchasing and direct installation programs for rooftop solar, batteries, and electric heat-pump water-heater and HVAC units. 7. Support for “plug-in” solar and battery energy storage systems. 2. At a minimum, the City will be required to adopt the AB 1279 goal of carbon neutrality “as soon as possible,” but no later than 2045. Does Council want to retain its local 2035 target as well? 2.a. If so, is Council comfortable with staff returning with a 2027-31 Climate Action Plan that does not identify a path to carbon neutrality by 2035, thus retaining the goal as an aspirational target? 2.b. If not, should staff include recommendations for what “as soon as possible” could mean in practice? 2.c. Does Council want to retain its existing “narrow and deep” approach to covered greenhouse gas emissions (focusing on energy, transportation, and landfilled solid waste)? 3. Does Council have further direction or feedback on the proposed outreach, engagement, and plan update approach to the 2027 CAP Update? SCHEDULE AND NEXT STEPS Staff is prepared to incorporate Council’s strategic direction into the outreach and work program for the 2027 Climate Action Plan update based on the following schedule:  April-October 2026 – Staff will conduct community outreach and engagement, conduct technical research, and further evaluate potential CAP actions. The findings from these efforts will be used to develop the 2027 CAP.  December 2026 – Staff will publish a public review draft of the 2027 CAP.  Spring 2027 – Staff will present the 2027 CAP to Council for approval. ALTERNATIVES 1. Council could provide strategic direction not included in the “Questions for Council.” 2. Council could direct staff to cease work on the Climate Action Plan Update and reprioritize planning efforts to implementation. This alternative would allow staff to spend more time in 2026 working on CAP implementation actions. Page 199 of 251 Item 8a Staff does not recommend this as the updated Climate Action Plan is an important tool for ensuring staff work programs are aligned with the City’s needs to achieve state targets related to SB 32 and AB 1279. ATTACHMENTS A - 2026 Climate Action Plan Progress Report B - Local Government Climate Alliance Information Sheet Page 200 of 251 PAGE i Page 201 of 251 CITY OF SAN LUIS OBISPO COMMUNITY CLIMATE ACTION PLAN 2026 PROGRESS REPORT APRIL 2026 ACKNOWLEDGMENTS City Council Erica A. Stewart, Mayor Michelle Shoresman, Vice Mayor Emily Francis, Council Member Jan Marx, Council Member Dr. Michael Boswell, Council Member City Management Whitney McDonald, City Manager Scott Collins, Assistant City Manger Greg Hermann, Deputy City Manager Green Team Contributors Kiersten Anderson; Volunteer Coordinator, Lucia Baesemann; Sustainability & Natural Resources Analyst, Meg Buckingham; Solid Waste & Recycling Program Manager, Dan Clancy; Financial Analyst, Jacqui Clark-Charlesworth; Tourism Analyst, Greg Cruce; Deputy Director, Maintenance Operations, Ethan Estrada; Assistant Planner, Amy Fletcher; Human Resources Specialist, Benefits, Adam Fukushima; Active Transportation Manager, Adria Griggs; City Attorney, Nico Gurney; Engineering Technician II, Natalie Harnett; Policy and Project Manager, Alejandro Hernandez; Facilities Maintenance Supervisor, Bob Hill; Sustainability & Natural Resources Official, Devin Hyfield; Recreation Manager, Basile Inman; Ranger Service Worker, Juanita Iriarte; Communications Coordinator, Madeline Kacsinta; Engineer III, Riley Kuhn; Principal Budget Analyst, Chris Lehman; Deputy Director, Wastewater, Joe Little; Emergency Manager, Teresa McClish; Housing Policy and Programs Manager, Patrick McGrath; WRRF Supervisor, Freddy Otte; City Biologist, Rachelle Paris; Solid Waste & Recycling Coordinator, Matt Pennon; DEI Manager, Chris Read; Sustainability Manager, Jennifer Rice; Deputy Director, Mobility Services, Keith Schwanemann; Stormwater Program Manager, Shawna Scott; Assistant Director of Utilities, Jesse Stanley; Transit Coordinator, Whitney Szentesi; Public Communications Manager, Nick Teague; Water Resources Program Manager, Bryan Treanor; Lieutenant. Page 202 of 251 CITY OF SAN LUIS OBISPO COMMUNITY CLIMATE ACTION PLAN 2026 PROGRESS REPORT APRIL 2026 TABLE OF CONTENTS PROGRESS REPORT SUMMARY ............................................................................................ 2 1. PROGRESS REPORT BACKGROUND ................................................................................ 4 2. GHG INVENTORY AND FORECAST SNAPSHOTS ............................................................. 8 3. CLIMATE ACTION PROGRESS BY PILLAR .......................................................................12 Pillar 1: Lead By Example..............................................................................................12 Pillar 2: Clean Energy Systems .....................................................................................15 Pillar 3: Green Buildingss ..............................................................................................18 Pillar 4: Connected Community .....................................................................................22 Pillar 5: Circular Economy .............................................................................................27 Pillar 6: Natural Solutions ..............................................................................................31 Administrative Actions ...................................................................................................34 APPENDIX A. CLIMATE ACTION PLAN IMPLEMENTATION MATRIX ............................. - 35 - Page 203 of 251 2021 Page 204 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 2 PROGRESS REPORT SUMMARY Introduction The City of San Luis Obispo (City) and the community have been working hard to reduce pollution, create more clean energy, provide more ways to move around the community, and do so in a way that supports other goals related to housing, diversity, equity, and inclusion, economic development, and community resilience. In 2020, the City Council adopted the Climate Action Plan for Community Recovery (Climate Action Plan, or “CAP”) that set forth and established an ambitious communitywide goal of carbon neutrality by 2035. Consistent with the schedule adopted with the 2020 CAP, staff provide the City Council and community with a progress report every four years. What’s Inside The 2026 Progress Report (the “Report”) includes information about the City’s Climate Action Plan, updated greenhouse gas emissions trends, and detailed information about implementation progress since the adoption of the Climate Action Plan. The Report is organized into the following Chapters: 1. Progress Report Background shares information about the history of climate action in San Luis Obispo and provides the context for this progress report. 2. Greenhouse Gas Emissions Inventory and Forecast Snapshots updates historic greenhouse gas emissions inventories, provides a 2024 inventory update, and forecasts emissions for 2030, 2035, and 2045. 3. Climate Action Progress by Pillar explains the different sectors of the Climate Action Plan, reports on implementation progress to date, identifies implementation headwinds and momentum, and looks ahead to how the City can support continued emissions reductions through 2045. Page 205 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 3 Progress Report Summary Findings Based on the work completed for the Report, staff have identified four key findings: 1. The City’s leadership and investments in climate action produce measurable results, invite outside resources (including over $57 million in external funding for CAP implementation actions since 2020), and demonstrate the effectiveness of sustained local leadership. Staff across City departments and programs are aligned in advancing CAP strategies and have reduced community emissions in partnership with local organizations and residents. Our local electricity provider is committed to providing 100% carbon-free electricity by 2030, enabling more homes and vehicles in our community to transition from fossil fuels and plug into a cleaner grid. The City is investing in essential active transportation infrastructure, making it safer and more convenient to walk, bike, and use transit. Citywide organics recycling is reducing emissions from the landfill, and climate-forward management of City open spaces, parks, and the urban forest is increasing carbon sequestration. 2. Regional, state, and federal policy changes are introducing new constraints on local climate progress. While local climate programs and projects are gaining momentum, factors outside of the City’s direct control are making it more challenging to reduce emissions. These factors include funding limitations for regional transit and regional low- carbon mobility options, statewide legislative and regulatory decisions affecting electricity affordability and clean energy deployment, and significant shifts in federal priorities that have disrupted the funding landscape for green buildings and low-carbon transportation. 3. Regional vehicle trips and natural gas use in existing buildings remain the most significant obstacles to achieving Council’s 2035 carbon neutrality goal. The external challenges described above, combined with higher-than-anticipated regional growth projections, indicate that there will be more fossil fuel powered buildings and vehicles in the future than originally forecasted. Without additional intervention, this trend will widen the gap between current trajectories and adopted targets. The 2027 Climate Action Plan update can respond directly to these findings and identify practical strategies to close that gap. 4. Persistent local innovation and creativity will be required to reach carbon neutrality goals. The City’s role as a leader in local climate action remains clear. Maintaining momentum will require deliberate policy direction and sustained investment. New tactics are required for successful collaboration with regional and state partners, including leadership on regional boards and commissions, and new forms of advocacy on the state level. Internally, the City will need to find creative solutions to go further with the resources available, and community organizations will need to continue playing a major role in local success. Page 206 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 4 1. PROGRESS REPORT BACKGROUND Background In 2012, City Council adopted the City’s first Climate Action Plan (CAP), which established (and achieved) the goal of reducing greenhouse (GHG) emissions by 15% by 2020. In 2020, Council adopted a comprehensive update that included a communitywide goal of carbon neutrality by 2035. The 2020 CAP set a long-term vision for reducing greenhouse gas emissions, while also helping achieve local resilience, economic development, housing, and social equity goals. In 2022, Council adopted the 2023-27 CAP Work Program that reaffirmed the 2035 carbon neutrality target and refined the City’s strategies in response to evolving state policy, implementation experience, and updated emissions data. This 2026 Climate Action Progress Report (2026 Progress Report) provides a snapshot of the City’s implementation efforts since adoption of the 2020 CAP and its subsequent update. The Progress Report provides findings from an updated greenhouse gas emissions inventory and forecast, summarizes progress across each of the six CAP pillars, highlights key implementation trends, and identifies areas where additional action may be needed. A detailed, action-by- action implementation review that reflects work completed through March 2026 is provided in Appendix A. This Report is intended to act as a “check-in” in advance of the comprehensive Community Climate Action Plan update, scheduled for early 2027. Climate Action Plan & Progress Report Development Process The Climate Action Plan organizes actions into six pillars that address the City’s primary sources of greenhouse gas emissions. Implementation follows a regular and repeating cycle of evaluating emissions Page 207 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 5 through inventories, advancing priority actions, monitoring progress, and adjusting strategies over time. This approach allows the City to respond to changing conditions while maintaining focus on its long-term carbon neutrality goal. The planning and implementation of the Climate Action Plan occurs over four repeating steps, including evaluating existing conditions via a greenhouse gas emissions inventory, identifying key actions to eliminate greenhouse gas emissions, implementing those actions, and monitoring progress via this progress report. This cycle is intended to be completed every four years until the community achieves its goal of carbon neutrality. The 2026 Progress Report was informed by extensive community outreach including seven roundtable workshops with community-based organizations and regional public agencies, a community meeting and webinar, and conversations with boards or committees at numerous organizations including the San Luis Obispo Chamber of Commerce and the San Luis Obispo Climate Coalition. Green Team Climate action planning and implementation are supported by the City’s Green Team, a cross- departmental group of staff that helps coordinate efforts across City functions. The Green Team enables shared ownership of climate goals, integrates sustainability into day-to-day operations, and supports an all-City approach to achieving both municipal and communitywide emissions reductions. Local, Regional, Statewide, and National Collaboration Since the 2020 Climate Action Plan was adopted, City staff have been collaborating with cities throughout California and the United States to ensure lessons learned in other places allow the City to do the work as efficiently as possible. Examples of collaboration include:  Green Cities California is a network of around 30 California cities and counties that collaborate on projects related to local energy reach codes that require buildings to be more efficient, electric vehicle chargers, and renewable energy, among other things.  Urban Sustainability Network is a network of over 200 U.S. and Canadian cities and counties that also collaborate on best practices for achieving local climate goals. February 2026 Green Buildings Stakeholder Forum Staff from the City’s Green Team Page 208 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 6  The Santa Barbara and San Luis Obispo Climate Compact is an informal working group comprised of staff from the City of Santa Barbara and the City of San Luis Obispo. Both cities have carbon neutral by 2035 targets and collaborate on approaches to achieve those goals. Photo of 2025 Green Cities California Annual Meeting Implementation Resources A central principle of the 2020 CAP is that leadership brings resources, and since 2020, the City also brought in substantial funding from outside resources to help achieve the actions in the Climate Action Plan, totaling over $57 million. The amount provided in this section is conservative, may not be inclusive of all grants or rebates received, and doesn’t account for the grant funded work completed by community-based organizations and regional public agencies (e.g., 3C-REN, 3CE, and APCD). Table 1 provides a summary of major grants, rebates, and incentives that the City has received by sector. Table 1. External Funding for Climate Action Plan Implementation (2020-25) Sector Total Lead by Example $11,531,876 Clean Energy and Green Buildings $956,798 Connected Communities (Transportation) $44,159,489 Solid Waste $259,078 Natural Solutions $656,996 Total $57,564,238 Note: the “Lead by Example” total includes $7,332,979 in tax credit funds pending final review by the Internal Revenue Service (IRS) and $76,790 in formula funds committed to the City by the US Department of Energy (DOE). Disbursements from the Federal Government are delayed in both instances. Page 209 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 7 Page 210 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 8 2. GHG INVENTORY AND FORECAST SNAPSHOTS GHG Inventory Background A greenhouse gas (GHG) inventory is a measure of GHG emissions that have occurred as the result of activity in a jurisdiction or a geographic area in a calendar year. Greenhouse gas emissions are modeled by multiplying data about activity (e.g., the amount of electricity consumed, the number of miles travelled in fossil fuel powered vehicles, the tons of solid waste sent to the landfill, etc.) by the greenhouse gas emission content of a typical unit of that activity (e.g., the average greenhouse gas emissions content per unit of combusted natural gas). Consistent with California Air Resources Board guidance and related reporting protocols, this inventory accounts for three common greenhouse gases: carbon dioxide (CO 2), methane (CH4), and nitrous oxide (N20). Since methane and nitrous oxide are substantially more potent greenhouse gases than carbon dioxide (86 and 265 times more potent, respectively), the emissions modeled from their release into the atmosphere are multiplied by their respective potential to warm the atmosphere relative to CO2 The reporting unit for greenhouse gas emissions is “Metric Tons of Carbon Dioxide Equivalence”, or MTCO2e. The City’s inventory includes emissions related to electricity and natural gas used in buildings and facilities (including electricity used to treat and move water), energy used for vehicles, and pollution for landfilled solid waste. The GHG emissions sectors included in the City’s inventory are required sectors consistent with California Air Resources Board guidance and do not include optional sectors associated with off-road equipment, wastewater treatment, and aviation, among other things. The “narrow and deep” approach to pursuing ambitious action in the required sectors is consistent with direction Council approved at the December 14, 2022 adoption of the 2023-27 Climate Action Work Program. This section provides a snapshot of the most recent San Luis Obispo communitywide GHG inventory and forecast work. The inventories and forecasts are subject to change as the City updates them with best available data throughout the 2027 CAP update process. In particular, the forecasts are subject to change as new economic and regional growth forecasts become available. As such, the snapshots provided in this report are best used as an indicator of the general scale and direction of emissions through 2045. GHG Inventory and Forecast Snapshot According to the City’s current GHG inventory and forecast snapshots, San Luis Obispo’s 2024 GHG emissions decreased by approximately 20% from 2005 levels and are expected to continue to decrease through 2035. As shown in Table 2, emissions in 2035 are expected to be at 218,810 MTCO2e (approximately 50% below 2005 levels). Chapter 4 provides additional inventory and forecast detail and findings for each of the inventoried emissions sectors. Page 211 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 9 The 2027 CAP will include a technical GHG inventory and forecast memorandum that will provide extensive detail about the methods and data used to calculate the City’s GHG emissions estimates. Table 2 GHG Emissions Inventories and Forecasts, 2005-2045 (MTCO2e). Sector 2005 2016 2023 2024 2030 2035 2045 % Change (2005- 35) Buildings (Electricity) 59,580 32,690 75,950 43,690 470 440 390 -99% Buildings (Gas) 57,120 51,310 58,780 54,170 51,400 39,920 24,300 -30% Transportation (Internal Trips) 83,720 67,760 44,800 44,800 40,520 33,160 14,560 -60% Transportation (Regional Trips) 191,690 155,140 180,330 180,330 166,740 138,710 62,690 -28% Solid Waste 47,740 42,630 28,950 29,480 11,100 6,580 3,590 -86% Total 439,850 349,530 388,810 352,470 270,230 218,810 105,530 -50% % Change from 2005 -21% -12% -20% -39% -50% -76% Note: The figures reported in this table reflect the best available analysis as of March 2026. These numbers may be revised ahead of the 2027 CAP update pending additional data or updated economic and demographic forecasts. Local and Statewide GHG Emissions Reduction Goals The City’s 2035 carbon neutrality goal is a local policy preference that sits inside the California legal framework related to greenhouse gas emissions. The City’s climate action efforts are now informed by two statewide GHG emissions targets that have been adopted or clarified since the adoption of the 2020 CAP:  SB 32 sets a 2030 regulatory goal to reduce statewide greenhouse gas emissions to 40 percent below 1990 levels. Since 2020, new guidance on how cities should calculate this as a local goal has been issued and the City’s current analysis is that with implementation of the existing CAP, the City is on track to achieve this goal.  AB 1279 sets a 2045 regulatory goal of achieving net‑zero emissions “as soon as possible,” and no later than 2045, with at least an 85 percent reduction in emissions by that date.1 The City’s current analysis shows that the implementation of the Climate Action Plan does not put the City on track to achieve local reductions consistent with AB 1279. Figure 1 illustrates the GHG emissions provided in Table 2 in relationship to the 2030 target (SB 32), the 2035 target (Council’s adopted goal), and the 2045 target (AB 1279). The gap between the forecasted emissions and the City’s goals represents the gap that the 2027 Climate Action Plan needs to address. 1 The guidance for establishing an 85% reduction assumes statewide carbon sequestration initiatives achieving the other 15% as modeled by the California Air Resources Board and included in its 2022 Climate Scoping Plan. Page 212 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 10 Figure 1. GHG Emissions Relative to State and Local Goals (2005-2045 in MTCO2e) 2005 2016 2018 2023 2024 2030 2035 2045 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 500,000 MT C O 2e 2030 Target (SB 32) 2045 Target (AB 1279) Page 213 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 11 Page 214 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 12 3. CLIMATE ACTION PROGRESS BY PILLAR The following section presents progress updates for each of the six Climate Action Plan pillars, which together organize the City’s approach to reducing community-wide greenhouse gas emissions. Each pillar summary provides a snapshot of where the City is making progress, where challenges remain, and how current efforts align with the City’s long-term carbon neutrality goal. Where this section describes progress on a particular pillar action, the action is identified in parentheses. More details about each action and the entirety of the 2023-27 CAP Work Program can be found at the end of this report in the CAP Implementation Matrix (Appendix A). Each section concludes with a look to the future, reflecting on the remaining emissions-reduction gap and identifying opportunities, emerging strategies, and policy considerations that may be necessary to achieve the City’s community carbon neutrality target. PILLAR 1: LEAD BY EXAMPLE Pillar Overview The City of San Luis Obispo is a highly visible organization whose climate commitments and results can inspire others to take similar action. The City is reducing greenhouse gas emissions across municipal operations (e.g., in City buildings, facilities, and fleet vehicles), while also integrating climate action into economic development, and community partnerships. The City has adopted a goal of carbon-neutral operations by 2030, five years ahead of the community target. By reducing municipal emissions, the City is demonstrating that carbon neutrality is achievable and can share lessons with residents, businesses, and other local governments. Since 2021, the municipal operations emissions reduction strategies have been moved to a separate planning document: Lead by Example: Goal Carbon neutral government operations by 2030 Progress Projected 84% reduction in covered municipal operations emissions by 2030 Headwinds  Elimination of federal rebates and incentives  Fluctuation in the EV truck market Momentum  Ongoing rebates and incentives from 3CE  Fleet continues to electrify and the charging depot at the Corp Yard is now in design Page 215 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 13 A Plan for Carbon Neutral Municipal Operations. The plan’s progress report was presented to Council in May of 2024, and the Plan update was adopted by Council in February of 2025. As illustrated in Figure 1, the updated Lead by Example Plan reports progress between 2022 and 2024 and forecasts an 84% reduction in municipal operations emissions by 2030.2 Sector Emissions Inventory and Forecast Figure 2 shows activity data and historical emissions trends for municipal operations from 2022 to 2024, alongside forecasts through 2030. Emissions from City buildings and facilities are expected to decrease rapidly by 2030 while other sectors, such as employee commute and fleet face greater challenges and are expected to decrease less rapidly. Figure 2. Municipal Operations Emissions Inventory (2022-2024) and Forecast (2025-2030) Implementation Progress As noted above, the 2025 Lead by Example plan reports that the City is on track to achieve an 84% reduction in covered municipal operations emissions by 2030 (for more detail, see the Lead by Example 2025-29 Work Program). In addition to municipal operations decarbonization, the Lead by Example pillar also includes actions related to community leadership and partnerships and capacity building. Visibility and Community Leadership Leading by Example only works if people are aware of what work is being completed and why it is a priority. To enhance visibility, the City created the Sustainable SLO brand, which has been applied to electric 2 The Lead by Example Plan addresses required emissions sectors per the Local Government Operations Protocol (LGOP), which includes electricity and natural gas consumption, solid waste, and transportation. The Lead by Example Plan also provides an estimate of direct emissions from wastewater treatment for informational purposes. For more information, see the Lead by Example Council Agenda Report at: https://opengov.slocity.org/WebLink/DocView.aspx?id=218409&dbid=0&repo=CityClerk&cr=1 0 500 1,000 1,500 2,000 2,500 3,000 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Building & Facility Energy Fleet Employee Commute Solid Waste MT C O 2e Page 216 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 14 fleet vehicles, buses, waste infrastructure, and trailheads, among other things. This branding is supported by ongoing communication through social media, newsletters, and in-person events, translating technical progress into accessible stories. Partnerships and Capacity Building Beyond City operations, the “Lead by Example” pillar emphasizes capacity building and partnerships. The City has invested in and collaborated with community-based organizations to expand the reach of climate action, including low-income energy programs delivered through CAPSLO, urban forestry with ECOSLO and Rotary de T olosa, watershed restoration with Creek Lands Conservation, sustainable agriculture education with City Farm SLO, and cultural fire and ecological restoration in partnership with yak titʸu titʸu yak tiłhini Northern Chumash Tribe (Leadership 3.1.A). Through these partnerships, the City can help other organizations make progress on the community’s climate action goals while benefiting from their unique expertise. While as a small municipality, the City lacks the capacity and leverage to meaningfully influence regional workforce efforts, the City benefits from broader efforts led by REACH and the Workforce Development Board (Leadership 2.2.A). Reaching Carbon Neutrality As City operations approach carbon neutrality, the role of Lead by Example will be to maintain the emissions reduction progress achieved to date, while also investing more time and support into community organizations that seek to do the same. Page 217 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 15 PILLAR 2: CLEAN ENERGY SYSTEMS Pillar Overview A carbon-neutral, affordable, and reliable electricity system is the foundation of the City’s greenhouse gas reduction strategy. Clean electricity reduces emissions from current electricity use and enables a zero-emissions alternative for fossil-fuel appliances, equipment, and vehicles. As illustrated in Figure 2, in 2024, electricity used in San Luis Obispo generated an estimated 43,690 MTCO2e, about 12% of total communitywide emissions. This reflects a 27% reduction from 2005 levels. Implementation Progress Since 2020, the City has pursued a goal of carbon-free electricity. The Climate Action Plan primarily advances this goal by supporting Central Coast Community Energy’s commitment to provide carbon-neutral electricity by 2030. The Plan also includes strategies to improve grid reliability, access, and affordability in coordination with PG&E, and to explore potential decarbonization pilot programs with SoCal Gas. Clean energy actions focus on transforming the electricity supply that underpins nearly all other decarbonization strategies. The foundation of local climate action is that the electricity grid will continue to get cleaner over time, and through efficiency and transitioning from fossil fuel appliances to electric appliances, the community will reduce and eventually eliminate emissions. Community Choice Energy Participation The City continues to support and participate in Central Coast Community Energy (3CE), with over 96% of local electrical load served by the community choice aggregator (Clean Energy 1.1.A). Since launch, more than $4.1 million in incentives and rebates have flowed back to the community for electric vehicles, charging infrastructure, and building electrification, reinforcing the local benefits of participation. After a temporary increase in reported 3CE emissions intensity between 2021 and 2023 driven by the transition from purchasing carbon credits to the direct investment in new renewable energy projects, emissions declined in 2024 as new renewable projects came online and reset the trajectory to carbon neutral electricity by 2030. 3CE is governed by a Policy Board composed of elected officials and an Operations Board composed of City Managers. The City of San Luis Obispo shares a board seat with the City of Morro Bay and per a memorandum of agreement between the agencies, alternate representation every two years. San Luis Obispo represented the seat in 2019 through 2024 and will do so again in 2027 and 2028. Goal 100% carbon free electricity by 2020 Progress 27% reduction in electricity emissions since 2005; expected to reach goal by 2030 Headwinds  Federal Regulatory and Financial Incentive Changes  California Regulatory Changes  Increased Construction Costs Momentum  3CE’s new renewable energy projects are coming online  Batteries prices continue to decrease while making the grid cleaner and more resilient Page 218 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 16 Grid Reliability and Affordability Grid reliability concerns have shifted over time. Earlier fears related to Public Safety Power Shutoffs (PSPS) have eased, with no PSPS events affecting the City in recent years (Clean Energy 2.1.A). Instead, the primary challenge has become the pace of interconnection for new housing, EV charging, and renewable projects, combined with steep electricity rate increases. PG&E rates have nearly doubled since 2018, largely due to required and deferred distribution system maintenance and wildfire mitigation costs, creating affordability concerns as electrification accelerates. Sector Emissions Inventory and Forecast Figure 3 shows activity data and historical emissions trends for the electricity sector from 2005 to 2024, alongside forecasts through 2045. Electricity emissions are forecasted to reach zero by 2030 as 3CE invests in renewable energy projects. Figure 3. Electricity kWh and Emissions Inventory (2005-2024) and Forecast (2025-2035) Headwinds and Momentum The following headwinds emerged since 2020 that have slowed or threaten to slow progress:  Federal Regulatory and Financial Incentive Changes - the elimination of tax credits and other financial incentives, combined with permitting obstacles makes rapid deployment of renewables more difficult.  Regulatory Changes - California Public Utilities Commission’s decisions related to PG&E rates, non-by-passable fees, and resource adequacy, among other things, continue to make 3CE’s business of providing low-cost clean electricity unnecessarily difficult. 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 0 50000000 100000000 150000000 200000000 250000000 300000000 MT C O 2e kW h kWh MTCO2e Page 219 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 17  Increased Construction Costs - High material costs, interest rates, and labor costs translate to higher energy costs. Despite these challenges, momentum exists for progress, including:  3CE's new renewable energy projects are coming online and the organization continues to reach new levels of organizational and financial maturity.  Batteries continue to become more affordable, and the California grid has over 17,000 megawatts of battery storage — a 2,100% increase in capacity since 20193.  Statewide clean energy progress continues; in 2025 there were 279 days when 100% clean energy met or exceeded demand for a portion of that day, with an average of 5.1 hours of 100% clean energy per day (this is a rapid increase from 42 days in 2022, 136 in 2023, and 219 days in 2024)4. Reaching Carbon Neutrality Clean electricity remains essential to achieving carbon neutrality and future progress will depend on affordability as much as supply. Rising rates risk slowing adoption of electric vehicles and appliances, particularly for low-income households. While the purpose of this report is to provide a progress report, staff also asked community members and stakeholders during the outreach component for ideas that might bend the emissions curve towards carbon neutrality. Innovative new ideas include engaging in legislative advocacy in support of affordable and reliable clean electricity, as well as creating more accessible pathways for community members to install solar or battery energy systems at their homes or businesses. Photo of a geothermal plant near the Mammoth Lakes area that provides clean electricity to 3CE customers 3https://www.energy.ca.gov/data-reports/energy-almanac/california-electricity-data/california-energy- storage-system-survey 4https://www.energy.ca.gov/data-reports/clean-energy-serving-california/tracking-progress-toward-100- clean-energy Page 220 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 18 PILLAR 3: GREEN BUILDINGSs Pillar Overview A carbon neutral San Luis Obispo is one in which nearly all energy used in buildings and facilities comes from clean electricity. In 2024, energy use in buildings and facilities (electricity and natural gas) generated an estimated 97,860 MTCO2e, about 27% of total communitywide emissions. This represents a 16% reduction from 2005 levels. Since 2020, the City has pursued a goal of reducing building-related emissions by 50% by 2030. The strategy focuses on two core actions: 1) minimizing emissions from new construction through building codes and 2) reducing emissions from existing buildings through energy efficiency retrofits. Work on existing buildings also includes supporting voluntary electrification and evaluating regulations that would require efficiency upgrades in certain situations. CAP Implementation Progress Low Emissions New Construction The City has made strong progress reducing emissions from new buildings. In 2022, the City adopted all-electric requirements for new construction and implemented them through 2023. After federal law limited local authority to require electrification, the City shifted to targeted amendments to the California Energy Code that strongly encourage low- and zero-emissions buildings (Green Buildings 1.1A). Between 2021 and mid-2025, approximately 79% of permitted buildings reporting energy data were all-electric. Most of the remaining new buildings had only a single major appliance connected to natural gas. Existing Building Energy Retrofits As anticipated in the 2020 Climate Action Plan, reducing emissions from existing buildings has been more challenging. Permit data shows early signs of market transformation, with growing adoption of electric heat pump water heaters and HVAC systems, compared to virtually no permits for these technologies in 2020. Overall natural gas use has declined only modestly, with a 5% decrease between 2005 and 2024. During that period, residential gas use decreased by approximately 14% and non-residential use increased by 8%. Goal No net new building emissions from onsite energy use by 2020; and a 50% reduction in existing building emissions by 2030 Progress 16% reduction in electricity emissions since 2005; reductions in existing building emissions are slower than expected. Headwinds  CPUC regulatory decisions have devalued solar and increased the cost of electricity Momentum  Efficient electric appliances are readily available to consumers  Relative cost of electricity compared to natural gas is projected to decrease over time  Local governments nationwide have tested viable new ideas for market transformation  California continues to enforce ambitious climate policies across regulatory spaces Page 221 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 19 As detailed in Appendix A, the City has completed multiple actions to support existing building retrofits, including:  Piloting high-visibility, equity-focused retrofit projects, particularly in manufactured housing communities, through partnerships with CAPSLO and the Diversity Coalition. These efforts provided energy audits, weatherization, heat pump installations, and ongoing energy coaching, providing information installation cost, feasibility, and utility bill impacts (Green Buildings 2.1B).  Implementing permitting and process improvements such as permit discounts, rebate referrals at application, SolarAPP+, and access to technical assistance through 3C-REN’s Code Coach (Green Buildings 2.1C).  Partnering with 3CE to simplify access to rebates, resulting in more than $1 million in community rebates since 2020 for building energy efficiency, electrification, batteries, and all-electric new construction (including ADUs) (Green Buildings 2.1.B).  Advancing regulatory exploration through study sessions on additions-and-alterations requirements, voluntary time-of-sale energy disclosure, and early evaluation of building performance standards for large buildings (Green Buildings 2.1E). The City has adopted energy efficiency requirements for major single-family additions and alterations, plans to launch a voluntary home energy score program in spring 2026, and has identified the approximately 100 buildings that exceed 50,000 square feet in floor area and the approximately 150 buildings that are between 25,000 and 50,000 square feet that could be included in a large-building energy disclosure program. Page 222 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 20 Sector Emissions Inventory and Forecast Figure 4 shows activity data and historical emissions trends for the buildings sector from 2005 to 2024, alongside forecasts through 2045. Electricity emissions are forecasted to reach zero by 2030 as the grid becomes cleaner, while emissions from natural gas use in buildings are expected to persist over time. Figure 4. Green Buildings Sector Emissions Inventory and Forecast Headwinds and Momentum While the emissions reductions associated with this sector were always expected to be challenging, the following headwinds emerged since 2020 that have slowed or threaten to continue slowing progress.  Changes to California Public Utilities Commission rules have substantially reduced the value of rooftop solar, which previously had been a key component of cost-effective electrification.  California Public Utilities Commission’s decisions related to PG&E’s rates and to allowing PG&E to change certain fees that impact 3CE customers has made it more challenging to address the price gap between electricity and natural gas in the short term.  Changes to the federal tax code, as well as changes to state rebates and incentives, have reduced the funding available for energy efficiency retrofits. 0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 MC O 2e Electricity Natural Gas Total Page 223 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 21 Despite these challenges, some momentum exists for progress, including:  The appliance market has undergone the early phases of transformation, with heat pump equipment and induction cooking appliances now readily available at retail and distribution locations.  National innovation continues, with two notable examples being the launching of public utility in Ann Arbor, MI focused on providing solar and battery systems using local contractors at a fixed low cost and the emergence of “plug in” solar as a cheap way for almost every person with an outlet and access to the sun can participate in the clean energy transition.  The State of California continues to make progress towards its own 2030 and 2045 climate goals, including through the 2025 California Energy Code that encourages new buildings to be all-electric and the California Air Resources Board’s Zero-emissions Appliances rulemaking process that would prohibit natural gas appliances from being sold in California starting in 2030. Reaching Carbon Neutrality Existing buildings represent the second largest remaining emissions gap. Voluntary programs alone are unlikely to achieve the scale and speed of retrofits required by 2035. Closing this gap may require new policy tools, such as mandatory energy disclosure, phased performance standards, or targeted retrofit requirements, paired with robust financial assistance and technical support. Ensuring affordability and health benefits, particularly for low-income households and renters, will be essential to maintaining continued progress. While the purpose of this report is to provide a progress report, staff also asked community members and stakeholders during the outreach component for ideas that might bend the emissions curve towards carbon neutrality. Innovative new ideas include engaging in legislative advocacy in support of affordable and reliable clean electricity and evaluating the feasibility of Ann Arbor’s Sustainable Energy Utility model. Page 224 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 22 PILLAR 4: CONNECTED COMMUNITY Pillar Overview Transportation remains the City’s largest source of emissions. The City tracks local emissions from internal trips that originate and end within City limits, but also takes responsibility for half of the emissions from regional vehicle trips, which account for 80% of emissions in this sector. In 2024, emissions from transportation generated an estimated 225,130 MTCO2e – about 63% of total communitywide emissions. This represents an 18% reduction from 2005 levels. Since 2020, the City has pursued a goal of reaching a mode split of 50% (or less) single occupancy vehicle trips, with the remaining trips occurring via transit (7%), biking (20%), walking (12%), and carpool and other (11%). Progress in this sector looks like a community where people can comfortably walk, bike, or take transit for daily trips, and where remaining car travel increasingly occurs in electric vehicles supported by convenient, reliable charging. The City’s strategy for reaching this mode split includes building active transportation infrastructure for walking and biking, investing in innovative transit solutions and models, and enabling a robust EV charging network, all while supporting compact development patterns. CAP Implementation Progress Mode Shift As of 2025, surveys show that the City has reached General Plan mode split objectives for walking and carpooling (including other) but is behind on the percentage of trips taken by bike and transit. As seen in Table 3, 15% of citywide trips are taken on foot, 12% by biking, 3% by transit, 12% though carpools and other modes, and 59% in single occupancy vehicles. Table 3. Progress Towards Mode Split Objectives Mode 2019 Household Survey 2024 Household Survey 2025 Household Survey 2030 Goal Walking 11% 15% 15% 12% Bicycle 16% 11% 12% 20% Transit 2% 2% 3% 7% Single-Occupancy Vehicle 61% 62% 59% 50% Carpool and Other 10% 11% 12% 11% Goal Achieve General Plan Mode Split Objective by 2030; 40% VMT by electric vehicles by 2030 Progress 18% reduction in transportation emissions since 2005. The City achieved mode split objectives early for walking and carpooling, but is behind on increasing transit and bike use, and on reducing rates of driving alone Headwinds  SLO Transit and RTA ridership declined in the early 2020s as a result of the pandemic  Federal funding priorities have shifted away from sustainable transportation. Momentum  Rapid construction of 1/3rd of the Tier 1 active transportation network  SLO Transit ridership increases year after year and is at 77% of the annual ridership prior to the pandemic  Internal walking, carpool, and other trips surpassed the City’s mode split objectives five years early Page 225 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 23 Walking and Biking The City continues to implement the Active Transportation Plan, prioritizing projects that improve safety, connectivity, and comfort for people walking and biking (Connected 1.1.A). Since 2021, the City has completed approximately one-third of the Tier 15 active transportation network. When including projects that are currently in design or planning, more than 60% of the Tier 1 network is either complete or actively advancing. Recent investments include the North Chorro Neighborhood Greenway, shared-use paths on Madonna Road, pedestrian and bicycle improvements in the Cerro San Luis development, and upgraded crossings on high-profile corridors. Together, these projects reduce barriers to short, non-car trips and improve access for all ages and abilities. As the City’s active transportation network improves, programs like a public bikeshare program can attract new riders and audiences to bicycling in SLO. The City explored launching a bikeshare in 2024, but market changes and funding risks emerged during the procurement process that resulted in not selecting a vendor (Connected 1.2.A). To support accountability, walking and biking mode share is now tracked through the biennial Active Transportation Plan Report Card, strengthening the link between infrastructure investment and outcomes (Connected 2.1.A). Transit The City operates SLO Transit in City limits and the Cal Poly University campus. Challenges that emerged during the COVID-19 pandemic, alongside a nationwide bus operator shortage, made it difficult for SLO Transit to quickly restore pre-pandemic service levels. These headwinds are evident in measurements of transit service: the number of passenger-trips per vehicle-service-hour has decreased by 52% over the last ten years and by 33% over the last five years. Despite these challenges, SLO Transit has steadily recovered. As of 2026, approximately 95% of pre-pandemic service has been restored, and ridership has increased by double-digit percentages annually for the past four years. While ridership in FY 2024-25 remains below FY 2018-19 levels, it continues to trend upward as service improvements are implemented. 5 The Tier 1 network includes the improvements identified with the greatest potential to increase bicycle and pedestrian mode share. Page 226 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 24 Improvements to SLO Transit’s frequency, reliability, fare programs, and rider experience are being planned through the Transit Innovation Study and Short-Range Transit Plan, with several pandemic-delayed enhancements scheduled for implementation in 2026 (Connected 4.2.A). These improvements include improved fixed route services under a forthcoming new contract for transit operations and maintenance services, which will go into effect in July 2026. As existing diesel buses are a local source of pollution, the City is transitioning to zero-emission transit vehicles with two electric buses in operation and eight additional buses are planned to enter service in 2026 (Connected 4.1.A). Once in operation, approximately half of the transit fleet will be electric, reducing tailpipe emissions while improving rider comfort. This transition to a zero- emission fleet is aligned with state law that requires transit agencies to fully transition to zero- emission technologies by 2040. As the San Luis Obispo Regional Transit Authority (RTA) serves transit users travelling in and out of San Luis Obispo, the City is working with RTA to make transfers to local SLO Transit buses as seamless as possible, including by implementing a new Open-Loop or “Tap2Ride” payment system, which is scheduled to launch in Spring 2026. Staff continue to monitor opportunities for regional collaboration and are currently coordinating on tools such as the Mobility Wallet Pilot Program to expand access to transit and shared mobility for low-income residents throughout the region (Connected 2.2.A). Page 227 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 25 Electric Vehicle Infrastructure and Parking Policy City-owned EV charging has expanded from two chargers in 2019 to 27 in 2026, with 49 additional chargers added in 2026 (Connected 3.1.A). Installations prioritize public facilities and locations that serve residents without home charging. Land Use and Infill Development Implementation of Housing Element programs, flexible downtown density policies, and missing-middle housing incentives continue to support compact development patterns. Infill housing development has progressed at a steady rate, providing additional housing units in existing City neighborhoods, leading to shorter trip lengths and improving the viability of walking, biking, and transit. Growth in Specific Plan areas has provided housing development in new areas of the City, with associated infrastructure improvements that promote multimodal transit and pedestrian connectivity (Connected 5.1.A, 5.1.B). Sector Emissions Inventory and Forecast Figure 5 shows activity data and historical emissions trends for the transportation sector from 2005 to 2024, alongside forecasts through 2045. While VMT remains high through 2045, emissions are expected to decrease over time as zero emissions vehicles become common and the average vehicle becomes more fuel efficient. Figure 5. Connected Community Emissions Inventory and Forecast 0 50,000 100,000 150,000 200,000 250,000 300,000 0 100,000,000 200,000,000 300,000,000 400,000,000 500,000,000 600,000,000 700,000,000 800,000,000 20 0 5 20 0 7 20 0 9 20 1 1 20 1 3 20 1 5 20 1 7 20 1 9 20 2 1 20 2 3 20 2 5 20 2 7 20 2 9 20 3 1 20 3 3 20 3 5 20 3 7 20 3 9 20 4 1 20 4 3 20 4 5 MT C O 2e VM T Annual VMT Total Emissions Page 228 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 26 Headwinds and Momentum Transportation remains one of the most challenging sectors for achieving carbon neutrality. The following challenges have emerged in this sector:  Given the City’s role as job center, the City’s job-housing imbalance, and the region’s development pattern of geographically isolated communities, reducing vehicle trips across the county remains a challenge.  Local and regional transit ridership levels remain below pre-pandemic levels. SLO Transit ridership in FY 2024-25 remains 33% below FY 2018-19 levels; however, ridership has increased by double-digit percentages each year for the last four years.  The City’s ability to offer community new sustainable ways of getting around, including bikeshare, carshare, and microtransit, is dependent on successful public-private- partnerships. Shifts in market conditions for bikeshare and carshare operators have thus far prevented launch of a zero-cost solution in the City of San Luis Obispo. Opportunities include:  EV adoption is growing rapidly. Residents purchased more than 11,000 electric vehicles in SLO County through 2025. EVs accounted for 24%, 22%, and 22% of all light-duty vehicle sales in the County in 2023, 2024, and 2025, respectively.  SLO is encouraging compact development patterns. Land use decisions will remain a powerful long-term lever. Continued infill development near jobs, schools, and transit corridors is essential to reducing car dependence over time. Reaching Carbon Neutrality While the purpose of this report is to provide a progress report, staff also asked community members and stakeholders during the outreach component for ideas that might bend the emissions curve towards carbon neutrality. Innovative new ideas include stepping up regional leadership for sustainable mobility. Advancing sustainable regional transportation solutions requires regional coordination with SLOCOG, RTA, Cal Poly, and neighboring jurisdictions to complete strategic investments across central coast communities. Additionally, micromobility and microtransit could reduce vehicle trips while also enabling SLO Transit to make service changes that increase headways on main routes. Near-term opportunities may allow for a fresh look at shared bicycle and on-demand transit programs. Page 229 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 27 PILLAR 5: CIRCULAR ECONOMY Pillar Overview The Circular Economy pillar has delivered some of the City’s most consistent and measurable emissions reductions, driven largely by state policy alignment and strong local implementation. This pillar is currently narrowly focused on the emissions that result from organic waste decomposing in the landfill and releasing methane, which is a potent greenhouse gas. The City benefits from a special composting facility, called an anaerobic digester. The City sends its organic waste to this facility, where it becomes organic compost and methane biogas that generates enough electricity to power around 600 homes. In 2024, emissions from organic waste generated an estimated 29,480 MTCO2e, about 8% of total communitywide emissions. This represents a 38% reduction from 2005 levels. Since 2020, the City has pursued a mid-term goal of 75% diversion of landfilled organic waste by 2025, and with the ultimate goal of 90% diversion by 2035. This means that the overwhelming majority of residential food scraps and yard waste, as well as organic waste from large generators like local restaurants, groceries, commercial kitchens, large events, and multifamily properties need to be properly sorted and sent to the digester. CAP Implementation Progress SB 1383 Compliance and Enforcement In 2022, the City adopted an ordinance requiring organic waste subscription for all residential and commercial customers. Since implementing organic waste collections citywide, the City, in coordination with the SLO County Integrated Waste Management Authority (IWMA), has carried out inspection, monitoring, and targeted education programs to meet the requirements of SB 1383 (Circular Economy 1.1.A). Outreach has focused on commercial generators, multifamily properties, and food-generating businesses, with an emphasis on technical assistance and corrective action rather than penalties. As of 2024, compliance issues have been resolved through education, automatic service enrollment, and follow-up monitoring, keeping the City in good standing with CalRecycle’s requirements. Organic Waste Diversion and Processing Organic waste diversion continues to be supported by education and regional infrastructure, notably the Kompogas anaerobic digestion facility, which converts organic waste into renewable energy and compost (Circular Economy 1.1.B). The City exceeded its SB 1383 organic Goal 75% diversion of landfilled organic waste by 2025; 90% diversion by 2035 Progress Emissions from organic waste have reduced 38% since 2005 Headwinds  Large events, multi-family housing, mobile home parks, and large employers have high rates of contamination Momentum  Organics recycling is rolled out Citywide.  By implementing SB 1383, the City is reducing landfilled organics  Local partnerships recover significant amount of edible food Page 230 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 28 procurement target by ~43% in 2024 through a combination of compost application, renewable natural gas use, and mulch projects. These actions reduce methane emissions while supporting soil health and local reuse markets. Edible Food Recovery The City has benefits from collaborations between the IWMA and local food recovery organizations that are expanding edible food recovery to reduce waste and alleviate hunger (Circular Economy 1.2.A). The SLO Food Bank is the local party responsible for edible food recovery coordination and reporting. The SLO Food Bank manages two food rescue programs: the Glean Program that rescuers a fresh produce in partnership with local farms and community residents, and the Grocery Rescue Program that rescues edible food directly from markets and connects charitable agencies with near-date food from grocery chains and local markets. Due to the efforts of the SLO Food Bank and IWMA, there is greater awareness of these programs among food generators and stronger redistribution networks serving food-insecure residents. Photo courtesy of the SLO Food Bank Education, Outreach, and Contamination Reduction The IWMA provides free kitchen pails and commercial internal organics collection containers to support residents and businesses in properly separating organic waste. The City and IWMA have conducted additional outreach to businesses, homeowner’s associations, and property managers, particularly in multifamily and mobile home communities where contamination rates tend to be high (Circular Economy 1.1.C, 1.3.A). Updated signage, site visits, and direct outreach have improved sorting behavior over time. Despite this, contamination remains higher than other customer segments. In rental units, ongoing education is especially needed given high turnover. Page 231 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 29 Waste Prevention and Reuse While most progress to date has focused on diversion, the City has continued to explore opportunities for upstream waste reduction, including reuse initiatives, deconstruction practices, and education around consumption and material use (Circular Economy 2.1.A). These efforts remain smaller in scale but are increasingly important. Sector Emissions Inventory and Forecast Figure 6 shows activity data and historical emissions trends for the waste sector from 2005 to 2024, alongside forecasts through 2045. As organic waste is forecasted to comprise a decreasing share of total landfilled waste through 2045, emissions from the waste sector are expected to decrease substantially over time. Figure 6. Solid Waste Emissions Inventory and Forecast Headwinds and Momentum There are many challenges in reducing landfilled organic waste and more broadly achieving a circular economy. These include:  Behavior change takes time, and proper usage of the green organics bin still needs work. The City and IWMA will continue to update signage, conduct site visits, and have direct engagement to improve sorting behavior over time.  Multi-family housing, mobile home parks, and large employers struggle to sort organics and have high rates of contamination. Shared waste services that serve these customers still need updated infrastructure and consistent waste-stream education. Ongoing 0 10,000 20,000 30,000 40,000 50,000 60,000 Annual Tons Total Emissions Page 232 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 30 outreach will remain essential as the community grows and turns over, particularly in multifamily housing and the commercial sector.  Large events generate significant amounts of unsorted waste. Events are high-volume waste generators and continue to have elevated contamination rates despite City requirements and improved outreach and education. Despite these challenges, the City continues to adapt and find opportunities to improve the sector. For example:  The City has made significant progress rolling out organics recycling Citywide and all businesses and residents in San Luis Obispo are equipped with green carts. By implementing SB 1383, the City is making strides reducing landfilled organics.  The City is ahead of schedule on achieving the compost procurement targets set by SB 1383.  The SLO Food Bank, in partnership with IWMA and local food generators, has significantly expanded edible food recovery capacity and participation. Reaching Carbon Neutrality Regional coordination and state policy evolution will continue to shape the City’s ability to deepen emissions reductions in this sector. While the purpose of this report is to provide a progress report, staff also asked community members and stakeholders during the outreach component for ideas that might bend the emissions curve towards carbon neutrality. Innovative new ideas include partnering with IWMA and local businesses on a “bring your own reusables” campaign, tracking reductions in single-use food ware, and expanding refill station education to improve participation in reuse and recycling systems – all of which are aligned with recently adopted state law SB54 that is focused on Reuse and Refill. More broadly, achieving the 2035 carbon neutrality goal will increasingly depend on waste prevention, not just proper sorting. This may require greater emphasis on reuse, repair, and reduction strategies and support for circular business models. Page 233 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 31 PILLAR 6: NATURAL SOLUTIONS Pillar Overview Natural Solutions actions involve protecting open spaces, restoring creeks, supporting healthy soils, and a growing urban forest that can store carbon while providing shade, habitat, flood protection, and recreational benefits. These actions can sequester carbon while also advancing biodiversity, wildfire resilience, water quality, and community well-being. As the City’s future projections anticipate significant GHG emissions into the future, natural climate solutions are one way to get to carbon neutrality faster. In 2024, carbon sequestration activities in open spaces, parks, and the urban forest sequestered an estimated 390 MTCO2e, which is less than one percent of total communitywide emissions. Since 2020, the City has learned a lot about the practical feasibility of carbon sequestration through compost application-based carbon farming activities and tree planting. These learnings have shifted the City’s goals somewhat to focus more on regenerative grazing and riparian restoration. CAP Implementation Progress Land Conservation The City continues to protect and expand open space properties as part of the San Luis Obispo Greenbelt Protection Program. Since 2020, the City has inaugurated Righetti Hill Open Space, completed the on-site conservation easement at San Luis Ranch that permanently protects prime farmland, and completed permanent open space easements that protect both wetland habitat areas and the “upper terrace” at Froom Ranch where numerous rare and sensitive status species occur, including the state and federally endangered Chorro Creek bog thistle (Natural Solutions 1.1.A). Regenerative Land Management The City manages open space lands to preserve and expand existing carbon stocks while improving ecosystem health. The City has applied compost to rangelands, expanded regenerative grazing, installed beaver dam analogs, and planted trees and riparian shrubs to improve soil health, reduce wildfire risk, and support carbon sequestration. These stewardship activities are often implemented through grant-funded projects and partnerships (Natural Solutions 1.1.B). In partnership with the yak titʸu titʸu yak tiłhini Northern Chumash Tribe, the City has supported Goal Increase Carbon Sequestration on the San Luis Obispo Greenbelt and Urban Forest through compost application-based carbon farming activities and tree planting; ongoing through 2035 Progress The City’s increased implementation of climate-smart land management practices has increased annual carbon sequestration by an estimated 390 MTCO2e. Headwinds  Climate change threatens existing carbon stored in living landscapes  Quantitative verification of natural climate solutions is still an emerging practice Momentum  Continued investment in the City’s Greenbelt Protection Program enables growth of open space network  Strong partnerships are the foundation of success for planting trees, restoring creeks, reviving cultural burns, and other natural solutions successes  The City continues learning through each pilot project, refining staff’s approach for future land management decisions Page 234 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 32 cultural burning and native grassland restoration, integrating traditional ecological knowledge into land management while advancing climate and resilience goals. Urban Forestry and Tree Canopy Expansion Urban forestry remains a highly visible component of Natural Solutions. Through Keys for Trees, volunteer events, grant-funded projects, and private plantings, over 6,000 trees have been planted on both private properties and public land toward its goal of 10,000 trees by 2035 (Natural Solutions 2.1.A). The City also continues to maintain a healthy urban forest so that existing carbon stocks stored in trees’ living tissues are resilient to present and future climate hazards. Tree planting efforts prioritize shade equity, climate resilience, and long-term survivability, with increasing attention to species selection and maintenance. Sector Emissions Inventory and Forecast Figure 7 shows historical carbon sequestration trends for the natural solutions sector from 2022 to 2024, alongside forecasts for carbon sequestration through 2045. As carbon sequestration practices are expected to scale across open space lands and private property through 2045, annual sequestration will increase over time. Figure 7. Natural Solutions Sequestration Inventory and Forecast -1200 -1000 -800 -600 -400 -200 0 2022 2025 2030 2035 2045 MT C O 2 e ( S e q u e s t e r e d ) Year Page 235 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 33 Headwinds and Momentum Challenges:  Wildfires and climactic changes are increasingly threatening local ecosystems. The carbon stocks stored in City open spaces are vulnerable to climate-related disasters like wildfires, droughts, and floods, even with investments to strengthen resilience.  The science and quantification methods that underly natural solutions are still developing. Accurate models (and field measurements) of how various land management practices are impacting carbon stores in the landscape are limited and are an evolving practice. Current areas of momentum in the Natural Solutions sector include:  The City continues to make progress on protecting land within the City’s Greenbelt through direct purchases and conservation easements.  The City has developed strong partnerships with nonprofits, volunteers, and regional agencies, as well as external grant funding to expand and maintain a resilient network of Open Space properties and Urban Forestry network. Project implementation relies heavily on these partnerships and external grant funding to expand capacity, reduce costs, and align local efforts with regional conservation and climate priorities.  The City is invested in learning and adaptive management, and by completing a carbon farming study and piloting carbon sequestration practices, such as "beaver dam analogs" in Dry Creek, good fire application, compost application, tree plantings, and regenerative grazing the City has amassed practical knowledge to guide future efforts. Reaching Carbon Neutrality Natural solutions provide important co-benefits but it’s likely that priorities will increasingly shift toward protecting existing carbon stocks, improving long- term maintenance and survivorship, and integrating natural solutions with wildfire risk reduction and water resilience strategies. Continued access to state and federal funding will be essential to sustaining stewardship activities, particularly as climate stressors such as drought and extreme heat intensify. While the purpose of this report is to provide a progress report, staff also asked community members and stakeholders during the outreach component for ideas that might bend the emissions curve towards carbon neutrality. Innovative new ideas included expanding natural solutions projects on private lands and connecting greenbelt projects with funding via a prospective regional mitigation bank. Page 236 of 251 CITY OF SAN LUIS OBISPO PROGRESS REPORT COMMUNITY CLIMATE ACTION PLAN APRIL 2026 PAGE 34 ADMINISTRATIVE ACTIONS: Pillar Overview Administrative actions establish the governance, coordination, and accountability needed to implement the Climate Action Plan across all pillars. CAP Implementation Progress Climate Governance and Coordination The City has embedded climate action into core administrative functions through interdepartmental coordination and leadership oversight, with the Office of Sustainability providing centralized tracking and technical support (Admin 1.1.A). This structure ensures climate considerations are integrated into capital planning, land use decisions, transportation investments, and municipal operations. Tracking, Reporting, and Accountability Ongoing monitoring and reporting remain central to implementation. The City maintains greenhouse gas inventories, implementation tracking tools, and public-facing progress reports, enabling transparency, accountability, and course correction over time (Admin 1.2.A). Funding and Grant Leveraging The City has successfully leveraged state and federal grants to advance CAP implementation across multiple pillars, including transit electrification, EV infrastructure, building retrofits, urban forestry, and land stewardship (Admin 2.1.A). External funding has expanded capacity while minimizing impacts to local resources. Community Engagement and Policy Alignment Administrative actions emphasize equitable community engagement through partnerships with community-based organizations and alignment with City policy f rameworks such as the General Plan, Housing Element, and Capital Improvement Program (Admin 3.1.A, Admin 4.1.A). These efforts support consistent, coordinated, and adaptive climate action implementation. Page 237 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 35 - APPENDIX A. CLIMATE ACTION PLAN IMPLEMENTATION MATRIX The table below provides an overview of actions committed to in the 2023-27 Climate Action Plan Work Program (2023-27 CAP). The table provides implementation details for each action including the original 2020 CAP action description language, the 2023-27 CAP updated task description, the City department responsible for leading initiation and implementation, the status of the action, and a report on general progress. The “Current Status” column indicates the implementation progress of each specific task identified in the 2023-27 CAP. It does not reflect the level of emissions reductions achieved. Instead, it shows the City’s progress in advancing the associated program, project, or work effort. The status categories are defined as follows:  On Track – action has been initiated as anticipated in the schedule defined by the 2023-27 CAP. In some cases, action implementation is complete, and in others the action is ongoing.  Behind – action is not being implemented at the speed anticipated in the 2023-27 CAP, but is still a strategic priority for the City.  On Hold – action has encountered uncertainties or barriers resulting in the need for a new or altered strategic approach. Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Leadership 1.1 Adopt a municipal carbon neutrality plan in 2021. Leadership 1.1.A: Implement the 2023-25 actions in the Lead by Example municipal carbon neutrality plan and complete a focused plan update for 2025- 30. Leadership 1.1.A: Implement 2025-27 actions in the Lead by Example municipal carbon neutrality plan. Administration, Public Works Summer 2023 Lead by Example progress report and plan update which projects an 84% reduction in covered municipal emissions by 2030. On track In 2021, the City adopted Lead by Example: A Plan for Carbon Neutral City Operations, which identified the projects, policies, and programs required to reduce municipal emissions to carbon neutral by 2030. The City adopted a work program update in 2025; at which point staff estimated that at full implementation of the actions included in the Lead by Example 2025-29 Work Program, the City would achieve an 84% reduction in covered greenhouse gas emissions by 2030 relative to 2022. The City has embedded Lead by Example throughout its plans and operations, including via projects prioritized in the Capital Improvement Program. Notable Capital Improvement Projects in the City’s current Capital Improvement Program include:  Level 2 and level 3 charging depot at the City’s Corporation Yard  Ongoing purchase of electric fleet vehicles  Design work in support of electrification retrofits at the SLO Swim Center and City Hall  Electrification retrofit work at the Ludwick Community Center These capital projects are accompanied by a range of programs and policies that support low emission employee commutes, substantial reductions in the amount of organic waste sent to the landfill, and zero-emissions new municipal buildings and facilities. Leadership 1.1.B: Brand Lead by Example projects with the Sustainable SLO emblem and develop a complementary educational and awareness campaign. Leadership 1.1.B: Continue telling the City’s Lead by Example story with the Sustainable SLO emblem and “best practice” outreach efforts. Administration Summer 2023 Qualitative tracking in CAP progress report On track Sustainable SLO is a city-wide campaign aimed at fostering a relationship between community members and the actions the City is taking to reach carbon neutrality. The Sustainable SLO mark has been added to nearly all of the electric and hybrid fleet vehicles, trash and recycling bins, and electric buses to increase public awareness of the City’s investment s in a sustainable future. In coordination with physical branding, staff utilize multiple platforms, such as the City’s social media accounts, email newsletters, and in-person events to inform the public about climate action related news or resources. Going forward, the City will continue to brand new assets with the Sustainable SLO mark, as directed by the City’s amended brand guidelines. The City will also regularly communicate with the public about environmental and climate issues using the Sustainable SLO brand. Leadership 2.1 Include carbon neutrality, social equity, and a focus on developing a green local economy in the updated Economic Development Strategic Plan. Leadership 2.1.A: Support implementation of the green economy and social equity portions of the Economic Development Strategic Plan. Leadership 2.1.A: Continue to support implementation of the green economy and social equity portions of the Economic Development Strategic Plan. Administration Ongoing Qualitative tracking in CAP progress report On track The 2023 Economic Development Strategic Plan established City goals and actions at the intersection of economic development and climate action. Staff from the Office of Sustainability and Natural Resources and the Office of Economic Development coordina te regularly to implement this work. A key action is ongoing sup port for the San Luis Obispo County Green Business Network , hosted by ECOSLO. City staff helped launch the program locally and continue to support it by referring businesses through the City’s Business W elcome Program. In 2026 there are 36 certified green businesses in San Luis Obispo County with 151 businesses in the certification process. In 2026, three City facilities (City Hall, 919 Palm Street, and 879 Morro Street) were certified as green businesses by ECOSLO. Page 238 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 36 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Leadership 2.2 Research methods to support local contractors and labor. Leadership 2.2.A: Support regional efforts to develop the workforce required to implement the Climate Action Plan. Leadership 2.2.A: Continue to support regional efforts to develop the workforce required to implement the Climate Action Plan. Administration Ongoing Qualitative tracking in CAP progress report On hold Staff have had a limited role in developing a regional green workforce. Since adoption of the 202 3-27 CAP Work Program, staff have concluded that, as a small municipality, the City lacks the capacity to meaningfully influence regional workforce efforts. Th e original premise, that meeting climate goals and capturing related economic benefits required local gre en workforce training, has not held in practice. Contractor capacity to install clean energy equipment has not been a primary barrier to adoption. Regional workforce efforts continue through other entities. The Tri-Counties Pre-Apprenticeship Building and Construction Trades Training Program includes green construction in its Multi-Craft Core Curriculum and is supported by the Workforce Development Board. The City also maintains annual agreements with REACH, the region’s economic development organization, to support workforce initiatives focused on cleantech, energy, building design, and construction. City leadership and staff participate in the REACH Council and related working groups. Leadership 3.1 Create a formal approach to support and empower community collaboration for climate action. Leadership 3.1.A: Continue to support and empower community collaboration for climate action. Leadership 3.1.A: Continue to support and empower community collaboration for climate action. Administration Ongoing Qualitative tracking in CAP progress report On track The City has invested in a wide range of organizations for the purpose of supporting local community-based organizations and their capacity to support climate actions. Key organizational relationships include:  Climate Coalition of San Luis Obispo: the City has a formal Memorandum of Understanding with the Climate Coalition and provides funding to assist with hosting community events including Earth Fest and National Drive Electric Week.  Community Action Partnership of San Luis Obispo: The City has identified, applied for, and received grant funds in the total amount of over $350,000 that have been allocated directly to CAPSLO’s low-income energy efficiency programs.  Diversity Coalition of San Luis Obispo County: The City has worked to identify, apply for, and receive grant funds in the total amount of nearly $200,000 that have been passed through directly to DCSLO to provide community outreach and energy bill technical assistance.  Environmental Center of San Luis Obispo: the City provides funding via Keys for Trees and external grants to support volunteer tree plantings and creek clean ups.  Creek Lands Conservation: the City partnered with Creek Lands on the SLO Creek Resiliency and Rewi lding Plan and is actively seeking grant funding to implement restoration projects that increase our watershed’s resilience to climate change.  City Farm SLO: the City leases prime agricultural property to City Farm, a nonprofit that provides educational services to the community about sustainable agriculture while addressing food insecurity by growing food for the food bank.  yak titʸu titʸu yak tiłhini Northern Chumash Tribe of San Luis Obispo County and Region: the City has partnered with ytt to return traditional ecological knowledge and practices on City Open Space properties, including cultural fire. The City and yt t have successfully partnered on a grant to restore perennial grasses at Johnson Ranch Open Space.  Rotary de Tolosa: the City partners with the Rotary de Tolosa to plant trees on City properties and maintain them over time. Clean Energy 1.1 Launch Monterey Bay Community Power and achieve a 98% participation rate while advocating for programs that support equity and achieve maximum local benefit. Energy 1.1.A: Continue to support Central Coast Community Energy’s 100% renewable by 2030 goal and continue to advocate for equitable decarbonization programs. Energy 1.1.A: Continue to support Central Coast Community Energy’s 100% renewable by 2030 goal and continue to advocate for equitable decarbonization programs. Community Development Ongoing CCCE participation rate – 96% of electrical load and accounts. On track Central Coast Community Energy (3CE) adopted an ambitious procurement target in 2021 to achieve 100% renewable and carbon free energy through direct investment in projects by 2030. To do so, the agency sold many of its “carbon free attributes” whi ch had previously allowed it to report very low emissions, similar to how other utilities, including PG&E, are able to report very-low emissions. As a result, 3CE’s electricity emissions intensity increased substantially in 2021 through 2023 as the new projects were bid, constructed, and brought on to the grid. With major projects now operating, the emissions intensity fell in 2024 and 2025, putting the agency back on the trajectory towards carbon neutrality. Participation remains high, with 96.87% of total electrical load and 96.2% of electrical acco unts in the City participating in 3CE and $4.1 million in direct incentives and rebates coming back to the community and City for investments in electric vehicles, charging infrastructure, and building electrification in alignment with the City’s and community’s carbon neutrality goals. The City supports and influences 3CE through representation on 3CE’s boards. The City and Morro Bay share a Policy Board seat and an Operations Board seat. 2025 was the first year that the City did not serve on either of the Boards, with Morro Bay representing both cities in 2025 and 2026. The City will resume its role on the boards in 2027. Clean Energy 2.1 Work with MBCP and PG&E to develop a regional grid reliability strategy. Energy 2.1.A: Continue to monitor and support CCCE and PG&E’s grid reliability work. Energy 2.1.A: Continue to monitor and support CCCE and PG&E’s grid reliability work. Administration Ongoing Qualitative tracking in CAP progress report On track In the early 2020s, with the advent of Public Safety Power Shutoffs, the concerns around overall grid reliability were very high. Since adoption of the CAP update in 2023, according to PG&E’s reports, the City has not experienced a Public Safety Power Shutoff. Localized distribution grid outages occur occasionally as the result of inclement weather or accidents; however, these remain minor and relatively undisruptive. Two other electricity service concerns have emerged since 2020: 1. New housing, electric vehicle charging, and renewable energy projects are experiencing significant delays in grid interconnection, impacting project viability and investment. 2. The substantial increases in PG&E electricity rates since 2018 that have occurred primarily as the result of increased preventative and deferred distribution grid maintenance costs and wildfire mitigation and response costs being embedded into electricity rates. As California’s plan to reduce greenhouse gas emissions depends on plugging in buildings, cars, and transportation sy stems into a clean electricity grid, it is important for these assets to be connected to the grid in a predictable and timely manner, and for electricity prices to maintain parity with natural gas. Page 239 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 37 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Clean Energy 3.1 Partner with SoCal Gas to research options for reducing greenhouse gas emissions associated with the existing natural gas grid. Energy 3.1.A: Continue to explore opportunities to partner with SoCal Gas on innovative decarbonization pilot projects that are aligned with the Climate Action Plan. Energy 3.1.A: Continue to explore opportunities to partner with SoCal Gas on innovative decarbonization pilot projects that are aligned with the Climate Action Plan. Administration Ongoing Qualitative tracking in CAP progress report On track SoCal Gas provides gas distribution and transmission grid maintenance as standard practice and have access to infrastructure in the public right of way via their franchise agreement with the City. In 2020 and 2021, staff worked with SoCal Gas’s project development team to identify potential “biogas to grid” projects in the region. SoCal Gas’s team were not able to identify any projects. Due to staff turnover at SoCal Gas, there has been less direct contact than in previous years. The utility has held webinars about energy efficiency programs, and the City intends to participate where beneficial so long as the programs don’t unnecessarily prolong or reinves t in fossil fuel infrastructure. Green Buildings 1.1 Adopt and implement the Clean Energy Choice Program for New Buildings and review opportunities for improvement in the 2022 code cycle. Green Buildings 1.1.A: Support Clean Energy Program for New Buildings with ongoing access to technical assistance. Green Buildings 1.1.A: Monitor Clean Energy Program for New Buildings Implementation and consider local amendments to the California Energy Code concurrent with the 2025 triennial code cycle if necessary. Administration, Community Development Ongoing Number of all-electric new buildings; number of customers assisted: All-electric buildings accounted for 79% of new building permits On track Since 2020, the City has adopted numerous local amendments to the California Energy Code, including: (1) electric preferred new- building requirements (2020), (2) mandatory all-electric new building requirements (2022) (note: the 2022 requirements were nullified following a change in federal law interpretation), and (3) energy efficient new building requirements (2023). In the 2022 code Cycle, the City enforced local amendments as follows:  Ordinance 1730 (2023 Series) required additional energy efficiency measures for residential and non-residential new construction and encourages the installation of high-efficiency electric appliances.  Ordinance 1736 (2024 Series) required major additions and alterations to existing single-family residential buildings to install certain energy efficiency measures in the existing building. Ordinance 1730 and 1736 provided local amendments to the 2022 California Building Standards Code and as such were no longer enforceable once that code sunset on December 31, 2025. For the subsequent 2025 building code cycle, which will hold for six years due to state legislation, the City adopted Ordinance 1752 (2025 Series) to update and extend the energy efficient major additions and alterations policy (Ordinance 1736). Council provided direction to staff to return with additional potential local amendments to the California Energy Code in 2026. Together with updates to the California Building Standards Code that aim to reduce emissions, these local amendments have significantly contributed to the City’s climate action progress. Between 2021 and June of 2025, of the over 700 building permits issued by the City (including single-family, multi-family, and non-residential buildings) that collected energy utility data, 79% were all-electric. Green Buildings 2.1 Conduct comprehensiv e retrofit program study and develop and implement a strategic and equity-focused building retrofit program by 2021. Green Buildings 2.1.A: Expand high visibility pilot projects. Green Buildings 2.1.A: Assess the value of continued pilot projects and either continue pilot projects or consider transitioning resources to an equity fund that supports low- income and/or hard to reach (e.g., rentals) residential retrofits. Administration Summer 2023 Number of buildings retrofitted: 0 On track The City worked with HASLO and no-cost technical experts to design zero-emission water heating and HVAC retrofit projects at two local properties. Staff leveraged grant funding, public programs, and City time to develop permit -ready plan sets. HASLO ultimately determined that site conditions made the projects too complex and chose not to proceed. Remaining grant funds were reallocate d to CAPSLO to support low-income weatherization and water heater upgrades in mobile and manufactured homes through the Buildings Up project described below. Page 240 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 38 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Green Buildings 2.1.B: Create an equity focused “Green and Healthy Buildings” service to educate the community and connect low- income building owners with resources, incentives, financing, and contractors. Green Buildings 2.1.B: Review service effectiveness and expand to include additional project types and income levels, if feasible. Administration, Community Development Fall 2023 Number of customers served: 4 mobile homes; with funding secured for 25 additional installations in 2026 On track Staff, in partnership with Diversity Coalition of San Luis Obispo County and Community Action Partnership of San Luis Obispo, was awarded two rounds of the Department of Energy’s Building Upgrade Prize to research the feasibility of electrification in mobile and manufactured homes and to design a concierge service that helps low-income residents electrify their homes and access rebates and incentives. The project focused on manufactured housing because it is a source of naturally occurring owner-occupied affordable housing in San Luis Obispo. After extensive stakeholder outreach, the team began a 12-month Technology Demonstration to research the cost-effectiveness and feasibility of green and healthy building upgrades in manufactured housing and to pilot potential features of a future concierge service with residents living in Chumash Village, a manufactured housing community in San Luis Obispo . Through the pilot, a total of four residents received an energy audit, weatherization upgrades, and some combination of a new electrical panel, heat pump water heater, and/or heat pump HVAC system from CAPSLO. Over the next 12 months, the team monitored their energy use and bill impacts of switching from natural gas to electric. The team also provided supportive services including a monthly bill protection program, on-call energy coaching and troubleshooting for their new appliances, and quarterly home comfort check -ins to better understand the participants’ needs, concerns, and experience with their home upgrades. In parallel, staff met with representatives from Central Coast Community Energy, Tri-County Regional Energy Network, and the California Energy Commission to advocate for incentives that support home energy upgrades in manufactured housing. In October of 2024, the City was also selected to participate in the National League of Cities’ Healthy Housing Innovation Co hort. Staff from the Office of Sustainability and the Community Development Department partnered to deliver another round of stakeholder outreach, this time to professionals in the fields of affordable housing and public health. This outreach resulted in the des ign and delivery of a Green and Healthy Homes Resource fair. City staff planned and hosted the fair alongside stakeholders in Silver City Mobile Home Lodge, and the event successfully connected residents with local health, safety, and climate resources. In November 2025, staff, in partnership with Diversity Coalition, CAPSLO, and SLO Climate Coalition, were selected for a TECH QuickStart Scaling Fund grant. The grant will fund the expansion of the pilot program initially offered to Chumash Village to a broader subset of manufactured housing communities. Diversity Coalition and SLO Climate Coalition will conduct outreach to additional manufactured housing communities to share resources and solicit additional program participants. CAPSLO will complete up to 25 additional heat pump upgrades in local manufactured homes, and Diversity Coalition will trai n SLO Climate Coalition staff to expand their Home Energy Advising Service to include manufactured housing and integrate the services tested in the technology demonstration, such as energy coaching and home comfort check -ins. Green Buildings 2.1.C: Establish “Green and Healthy Buildings” permit streamlining program. Green Buildings 2.1.C: Continue working to minimize regulatory barriers to electrification retrofit projects. Administration, Community Development Winter 2024 # of permits processed through program: The number of permits streamlined is extensive due to the City’s approach, making this action infeasible to track numerically with existing systems On track Staff reviewed a number of opportunities to streamline permitting of green and healthy building improvements, and implemented the following enhancements to the process:  The City provides a discount for permits associated with green and healthy buildings, including solar, windows, and heat pump water heater and HVAC systems.  The City connects project applicants with rebate programs at time of permit submittal.  The City’s Climate Action Plan allows for new development projects that require CEQA review to illustrate consistency with the CAP and forgo environmental review for greenhouse gas emissions impacts.  The City processes solar building permits through Solar App+, which provides on demand, next -day permits.  The City received the “Gold” designation via the SolSmart program, which awards the distinction based on achieving national best practices for solar permitting.  The City provides access to 3C-REN’s “Code Coach” program, which provides no-cost technical assistance to community members that are working to comply with the California Energy Code. Additionally, staff will continue to monitor emerging best practices, including on-demand permitting for heat-pump hot water heaters, and pursue additional improvements to the permitting process as capacity allows. Green Buildings 2.1.D: Facilitate access to low interest financing for retrofit projects. Green Buildings 2.1.D: Review financing support approach and modify as necessary. Administration Summer 2023 Qualitative tracking in CAP progress report Behind Staff have reviewed a wide range of financing models, but none have yet proved viable for a city the size of San Luis Obispo to administer and operate. Statewide and regional programs do exist, however, including GoGreen Financing, a state financing program that connects building owners to lower interest finance through regional credit unions for certain clean energy and energy efficie ncy projects. Community Choice Aggregators in other regions of California including Peninsula Clean Energy and San Jose Clean Energy have also launched zero interest, on-bill loans to help qualified community members access water heating, HVAC upgrades, and energy efficiency improvements. City staff has advocated to Central Coast Community Energy to develop a regional program of this nature, but to date, the agency has declined. Page 241 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 39 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Green Buildings 2.1.E: Develop an equitable framework for requiring electrification retrofits and develop cost effective building electrification policies for additions and alterations. Green Buildings 2.1.E: Use the foundational research and community outreach conducted in 2023-25 to identify whether additional disclosure or retrofit requirements are needed, and if so, develop and adopt these requirements. Administration Summer 2023 Number of buildings retrofitted: As of 2026, the Additions and Alterations Reach Code has been applied to a small number of building permits. An exact number was not available at the time of this report’s publishing. Behind On July 15, 2025, staff conducted a study session with City Counc il about recent progress supporting efficiency and electrification retrofits in existing buildings, and the policy options available for future consideration. At the study session (Council Agenda Report linked here), staff shared that while the emissions from energy use in buildings in San Luis Obispo is decreasing, the reductions are not occurring at the rate required to achieve Council’s time b ound goals. Staff also shared updates and received strategic direction on the following:  Additions and Alterations Reach Code: Staff presented the existing single-family building additions and alterations progress to date and sought strategic direction on next steps. Council directed staff to update the reach code, which they subsequently adopted via Ordinance 1752 (2025 Series) in November of 2025.  Time-of-Sale Energy Disclosure: Staff received strategic direction from Council to coordinate and launch a voluntary pilot program in San Luis Obispo called the “Home Energy Score”. The program, provided by the statewide implementer of the Home Energy Score, is expected to launch in Spring of 2026, with no-cost training to local home inspectors and real estate professionals, as well as subsidies for homeowners or home sellers that would like to provide a score for their home.  Building Performance Standard: Staff have conducted extensive research on the feasibility of establishing a building performance standard in San Luis Obispo. The process of establishing a building performance standard begins with requiring energy disclosure from applicable buildings, before ultimately setting targe ts for efficiency improvements in those buildings over time. While enforcing a building performance standard would be staff intensive and likely require external funding, staff have identified a viable path to adopting and enforcing an energy benchmarking (e.g., disclosure) program for large buildings. Staff have already identified approximately 100 buildings that exceed 50,000 square feet and approximately 150 buildings between 25,000 and 50,000 square feet. Staff verified current building use type for eac h and organized them into a database to allow for sorting and identifying buildings that could qualify. A preliminary process for receiving disclosed building ene rgy use data has been created and staff will begin engaging with local building owners and businesses willing to champion voluntary energy use disclosure to further inform program design. Connected 1.1 Establish a consistent method for tracking and reporting mode split metrics. Connected 1.1.A: Conduct the Household Transportation Survey every other year to track and report on mode split metrics. Connected 1.1.A: Continue to conduct the Household Transportation Survey every other year to track and report on mode split metrics. Public Works Ongoing Qualitative tracking in CAP progress report; Up- to-date mode split metrics and additional data can be found in the Active Transportati on Plan biennial status report On track Mode share metrics are reported in the City’s Biennial Active Transportation Plan (ATP) Report Card. The 2025 ATP Report Card reports mode share from the 2025 Household Transportation Survey with the following results:  Walking - 15%  Bicycle - 12%  Transit - 3%  Single-Occupancy Vehicle - 59%  Carpool and other - 12% The City’s overall target is for 50% of trips to come from modes other than single-occupancy vehicles, and these updated numbers show good progress towards that target. While staff use the Citywide Household Travel Survey as the primary data source for deriving mode share estimates, the Report Card also presents multimodal data trends from the US Census Department’s American Community Survey and latest trends in auto/bicycle/pedestrian volumes on primary transportation routes and annual SLO Transit Ridership data. The City’s Active Transportation Portal web page provides additional information on current mode share trends. Connected 1.2 Research and develop an approach to a “Mobility as a Service” platform for people to easily use all modes of low carbon mobility in the City. Connected 1.2.A: Taking direction from the Transit Innovation Study, pursue the development of a regionally integrated "Mobility as a Service" platform. Connected 1.2.A: Update the Mobility as a Service platform as necessary. Administration, Public Works Fall 2023 Qualitative tracking in CAP progress report On hold While the City has not developed a Mobility as a Service platform, SLOCOG is advancing the concept in a narrowed way through their forthcoming Mobility Wallet Pilot Program. Whereas a “Mobility as a Service” platform would serve users as they move around using multiple modes of transportation in a single trip (for example: using bikeshare to travel to the bus stop to commute via transit), the Mobility Wallet pilot being led by SLOCOG is an electronic or card-based system that would distribute $1.047 million in Low Carbon Transit Operations Program funding to eligible SLO County constituents as pre -loaded debit cards restricted for transit use on both RTA and SLO Transit’s systems. The initial program will be focused on transit services only, but the goal is to expand the Mobility Wallet to include other services like bike lockers and other forms of public transit as they become available. Page 242 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 40 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Connected 2.1 Complete Active Transportation Plan and begin implementatio n immediately. Connected 2.1.A: Continue to implement the Active Transportation Plan. Connected 2.1.A: Continue to implement the Active Transportation Plan. Public Works Ongoing Qualitative tracking in CAP progress report On track The City adopted the Active Transportation Plan in February 2021 and has since rapidly implemented active transportation projects across the community. Projects completed since the adoption of the 2023-27 CAP Work Program include the North Chorro Neighborhood Greenway, shared use paths on Madonna Rd and in the Cerro San Luis Development, and new crossing improvements at South/King and Sydney/Johnson. As of 2026, the City has completed 31% of the City’s Tier 1 active transportation network, with more projects on the way at Higuera, Tank Farm, South Brood, and Prado. More information about the implementation of the Active Transportation Plan can be found in the 2025 ATP Report Card. Connected 2.2 Launch micro mobility program by 2021. Connected 2.2.A: Reassess the viability of launching a Micro Mobility Program and launch if feasible. Connected 2.2.A: If viable, continue to operate and expand the Micro Mobility Program. Administration, Public Works Summer 2023 Qualitative tracking in CAP progress report On hold On May 7, 2024, City Council authorized the release of a request for proposals (RFP) for a community bikeshare program. The RFP was for a bikeshare pilot with 100 bikes with docks sited in the downtown core and Cal Poly campus. The RFP also specified that the program be operated at no cost to the City and low impact to Public Works staff. During the RFP process market conditions shifted and the bidding vendors updated their proposals to require substantial external funds to sustain operations and as a result, a vendor was not selected. Staff continues to monitor market conditions and better under stand potential service providers. Should a viable program be possible that meets the operational needs of the City, staff could return with an updated RFP to re-test market conditions. Connected 3.1 Establish a policy and strategic approach to leveraging existing and new parking garages for downtown residential and visitor serving uses and to allow for further implementatio n of the Downtown Concept Plan. Connected 3.1.A: Establish a policy that addresses the distribution of Level 2 and Level 3 chargers in parking lots and garages. Connected 3.1.A: Continue to implement the parking lot and garage policy and pursue updates if necessary. Administration, Public Works Winter 2024 Qualitative tracking in CAP progress report On hold At the time of adopting the 2022 CAP, staff were concerned about the lack of Level 3 chargers at City parking lots and garages and included this action to develop a policy requiring more Level 3 chargers. As electric vehicle adoption rates have increased a nd charging behavior has been observed, staff have determined that Level 2 chargers are the appropriate infrastructure for public parking garages and have deemed the development of a new policy unnecessary. The City continues to deploy new charging infrastructure in public lots and garages, including 41 new Level 2 EV spaces in the Cultural Arts District Parking Structure and 8 privately operated Level 3 charging ports at various public lots, with 8 more scheduled for installation in 2026. The City also developed an updated rate structure that will better support charger availability, as well as ongoing maintenance, replacement, and expansion of EV infrastructure in the future. Connected 3.1.B: Pursue parking programs, rules, and regulation that can reduce vehicle miles travelled and support alternatives to vehicle ownership. Connected 3.1.B: Continue to pursue parking programs, rules, and regulation that can reduce vehicle miles travelled and support alternatives to vehicle ownership. Administration, Community Development, Public Works Spring 2024 Qualitative tracking in CAP progress report On track The City has advanced its efforts to reduce vehicle miles traveled and support alternatives to vehicle ownership through severa l key actions. The Parking Fund purchased and installed 22 new BikeLink lockers in the downtown core, expanding secure bike storage facilities for people who bike to downtown San Luis Obispo. The SLO Transit Downtown Access Pass program, funded by the City’s Parking Fund, has grown to 68 active users in 2025, nearly doubling the 2024 total of downtown employees using SLO Transit. Additionally, in 2023 the City created the Mobility Division, integrating Parking, Transit, and Active Transportation under one structure to improve coordination, develop multimodal solutions, and balance competing priorities. Connected 4.1 Develop transit electrification strategic plan and begin implementing in 2020. Connected 4.1.A: Continue to electrify the SLO Transit bus fleet. Connected 4.1.A: Continue to electrify the SLO Transit bus fleet. Public Works, Administration Ongoing # of electric buses; percentage of fleet electrified: 8 / ~50% On track As of early 2026, there are two electric SLO Transit buses in service. Six more electric transit buses are scheduled to enter service Spring 2026 and an additional two electric buses should be in service by Fall 2026. This will bring the total number of electric buses in the SLO Transit fleet to 10, comprising around 50% of the total fleet of 19-20 vehicles. This progress aligns with the City’s Zero- Emission Bus Roll Out Plan, which provides a strategy to reaching California’s Innovative Clean Transit (ICT) fleet regulation goal of 100% zero-emission buses by 2040, while also avoiding early retirement of conventional buses. With the adoption of 2025 Short- Range Transit Plan update, Council approved the refurbishment of up to five diesel -powered buses to accelerate the implementation of service expansion recommendations. These refurbishments will delay SLO Transit’s transition to 100% zero-emission technologies; however, the City will remain compliant with California’s ICT mandates. By 2030, staff anticipates that 80% of the fleet will be zero-emission assuming state and federal funding for zero-emission buses continues be available. Additionally, the Short- Range Transit Plan provides a holistic approach to improving SLO Transit’s vehicles and infrastructure including reinvestment in existing buses and critical on-board technology upgrades. These two plans work together to provide the best experience for SLO Transit users in the short term while advancing the long-term goal of 100% zero-emission buses in the long term. Page 243 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 41 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Connected 4.2 Shorten transit headways through accelerated implementatio n of the existing Short- Range Transit Plan. Connected 4.2.A: Incorporate recommendation s from the Transit Innovation Study into the Short- Range Transit Plan and begin implementation immediately. Connected 4.2.A: Continue to implement the Short-Range Transit Plan. Public Works Fall 2023 Annual transit system headways On track The Transit Innovation Study (TIS) provides recommendations to improve SLO Transit into the future. In January, 2024, Council reviewed a draft of the Transit Innovation Study and directed staff to finalize the report and begin implementation. In March 2025, the City published the Transit Innovation Implementation Progress Report. Specific TIS recommendations were further analyzed and incorporated into the Short-Range Transit Plan (SRTP) update process, which was adopted by Council in April 2025. Not all TIS recommendations were analyzed in the SRTP or included as recommended actions. Details on implementation progress for the high and medium priority TIS recommendation are presented below in ranked priority order. The TIS recommendations that were further analyzed in the SRTP are identified in this broader list. 1. Enhanced fixed route services (TIS)  Fixed route recommendations (SRTP) o Reinstate services to pre-pandemic levels. Reinstatement of pre-pandemic service levels is scheduled to take place Spring 2026. o Increase Route 4A/B service, operate “B” Routes on weekends, increase service frequency on Routes 2A/B, provide academic service year-round, and provide new service to Avila Ranch area Fixed route SRTP recommendations will be implemented under a new contract for transit operations and maintenance services (assuming funding and vehicles are available to operate service). The new contract is expected to go into effect on July 1, 2026. Implementation of the SRTP recommendations will be phased in during the contract term and coordinated with the new contractor. 2. Pursue open-loop payment system (TIS) SLO Transit is partnering with SLOCOG, RTA, and California’s Department of Transportation on this project with the goal of implementing the new payment system by April 2026. The new system includes a payment option that will limit what riders pay to the max daily and max monthly rates. 3. Fare changes for students, seniors and low-income riders (TIS) In February 2025, Council approved making the discounted K-12 15-ride pass a permanent program. SLO Transit, SLOCOG, and RTA considered a one-year fare free pilot program but, by federal law, it would also mean that the County’s paratransit services would also have to be free. There was not enough funds available to cover both fixed-route and paratransit. Instead, SLOCOG is using the funds on a Mobility Wallet Pilot Program (see Connected 4.1.A). 4. Replace Computer-Aided Dispatch and Automated Vehicle Locator (CAD/AVL) system of fixed route vehicles (TIS) The CAD/AVL system connects with other technologies such as onboard voice annunciators, passenger counters, security cameras, and real-time passenger information displays. Replacing the CAD/AVL system will enhance scheduling accuracy, Connected 4.3 Explore additional innovative transit options in the 2022 Short-Range Transit Plan (e.g., on- demand deviated routes, electric fleet expansion, micro transit, Bus rapid transit, transit signal priority). This action will be addressed by Connected 4.2.A. This action will be addressed by Connected 4.2.A. Page 244 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 42 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Connected 4.4 Assess feasibility of a “free to the user” transit ridership program. This action will be addressed by Connected 4.2.A. This action will be addressed by Connected 4.2.A. service monitoring, reporting, and rider communication. Funding from state and federal grants is expected to fully cover the cost, with installation anticipated in Spring 2026. 5. Upgrade automatic passenger counters (TIS) Installation of automatic passenger counter technology is scheduled to occur in Spring 2026 along with the implementation of a new CAD/AVL system. 6. Enhance real-time passenger information Immediate improvements to real-time passenger information will occur once a new CAD/AVL system is installed. Staff updated SLO Transit’s bus stop inventory in August 2025, and bus stop conditions along with ridership data will be used to identify locations to install additional amenities like real-time information signs. 7. Replace and improve camera systems $750,000 in state grant funding has been approved for improved camera systems and are currently available for project related costs. 8. Explore institutional partnerships In November 2025, the City partnered with Rideshare’s Know How to Go campaign to sponsor the Holiday Trolley. The sponsorship covers the costs of fares allowing riders to use the service at no cost. Ridership of the Holiday Trolley was over 1,000 riders compared to less than 250 the prior year when there was no sponsorship of the cost. Remaining sponsorship funds are being used to cover fares for the Farmers’ Market Trolley service which operates every Thursday. Future partnerships are being explored to offer discounted or free fare rides on other SLO Transit services including the Mobility Wallet Pilot Program previously discussed. 9. Install lighting, shelters, and bike parking at applicable bus stops (TIS) An update to SLO Transit’s bus stop inventory was completed in August 2025. The updated inventory will be used to develop a multiyear improvement plan for all bus stop amenities. Staff is also working to replace the twelve remaining old style bus shelters with new shelters per the City’s Engineering Standards by June 2027. 10. Expand the Downtown Access Pass (TIS) The application process was streamlined in fall 2024, and expansion of the program’s geographic area is a recommendation in the Short-Range Transit Plan. 11. Pursuing microtransit mobility services (TIS)  Microtransit pilot program (SRTP) Microtransit will be pursued as a “turnkey” option through a third-party contractor. There is a microtransit feasibility study underway in FY25-26, which will determine how a microtransit program could be implemented in SLO including possible service alternatives. 12. Launch a bikeshare program See Connected Community 2.2.A. Connected 5.1 Complete the 2019-21 Housing Element of the General Plan Update and Flexible Zoning Connected 5.1.A: Continue to implement the Housing Element of the General Plan. Connected 5.1.A: Continue to implement the Housing Element with a special focus on reaching the City’s RHNA goals. Community Development Ongoing Housing production by income (per Regional Housing Needs Allocation) On track Implementation of the Housing Element includes removing barriers to housing production, meeting the State's Regional Housing Needs Allocation of 3,354 housing units from January 1, 2019, through December 31, 2028, and diversifying housing options for all with a focus on infill development. Since the adoption of the 6th Cycle Housing Element, the City has updated zoning standards that approve objective design standards, allow housing in more zoning districts, incentivize more below-market-rate housing, and expand housing projects eligible for ministerial permits. As of the end of 2025, the City has far exceeded its 1,406 housing unit allocation for “Above Moderate” housing units by permitting 2,478 housing units. For below market rate ("affordable") housing units, the City has permitted 719 housing units with 1,229 units still needed to meet the 6th Cycle RHNA allocation by the end of the 2028 calendar year. Of the remaining below market rate allocation, 39% of the units must be reserved for Very Low and Extremely Low Incomes , 21% for Low Incomes, and 40% for Moderate Incomes. Page 245 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 43 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Requirements for Downtown. Connected 5.1.B: Conduct “Missing Middle” housing pilot program along major urban corridors. Connected 5.1.B: Continue to support “missing middle” housing along major urban corridors. Community Development Spring 2024 Qualitative tracking in CAP progress report On track The City's goals to foster "missing middle" housing have been reshaped through state housing legislation since 2019. Instead of a stand-alone ordinance to widen housing opportunities along specific corridors, the City has leveraged a series of state laws and programs to expand missing middle housing opportunities and is incorporating missing middle housing as a priority in Specific Plan updates. Examples of missing-middle aligned regulations and programs include:  Density Bonus Law implementation provides incentives for smaller units as higher densities are achieved for infill lots. The majority of all housing projects over 10-units utilize the City's Density Bonus incentives.  The inclusionary housing in-lieu fee is based on square footage. As a result, smaller units have lower fees, which incentivizes smaller infill development.  The Downtown Flexible Density Program developed through the State SB2 Grant programs removes density requirements for units less than 600 square feet downtown.  Expanded opportunities for ministerial review and greatly reduced fees for ADUs and JADUs have resulted in approximately 80-100+ permits issued annually.  The City's updated Subdivision Ordinance allows flexible lot design for R-1 districts and implements a streamlined processes for urban lot splits allowed through SB 9 and SB 684.  Updated zoning regulations and the Airport Area Specific Plan implement state law by allowing more mixed-use housing within Service Commercial and Manufacturing districts.  The City is currently updating the Margarita Area Specific Plan to incentivize missing middle housing opportunities. Connected 6.1 Develop and begin implementing electric mobility plan to achieve a goal of 40% electric vehicle miles traveled (VMT) by 2035. Connected 6.1.A: Enable the installation of publicly accessible EV chargers on public property to meet community need. Connected 6.1.A: Continue to expand EV charging on public property. Administration, Public Works Ongoing # EVs registered in county: 11,000 # public chargers in City: over 250+ # publicly available chargers on City property: 68 On track Publicly accessible EV charging on public property has expanded since 2020. Locally, the network grew from two public charger s in 2019 to a combined 27 today, including 19 standard ports intended for multi-hour use and eight fast chargers for short stops. Additional projects scheduled for 2026 will add 41 more standard chargers at the Cultural Arts District Parking Garage and ei ght fast chargers at Railroad Square and the Calle Joaquin Park-and-Ride, for a total of 76 public chargers. These public chargers supplement an expanding network of private and residential charging already operating in the community. Additionally, in February 2026, the City updated EV charging rates in paid parking lots to a structure designed to balance affordability and availabilit y for users while covering operational costs, utility expenses, and equipment maintenance. Connected 6.1.B: Support publicly accessible EV chargers on private property. Connected 6.1.B: Continue to support the installation of publicly accessible EV chargers on private property. Administration, Community Development, Public Works Ongoing # of EV chargers on private property: over 250 publicly accessible and 400 non- accessible charging ports (estimates) On track Statewide, California’s public charging ports grew from 41,947 in 2019 to 178,549 in 2024, a more than fourfold increase. Using the best available public data, the number of publicly accessible EV charging ports within San Luis Obispo city limits has increased steadily over the same period. Estimates indicate roughly 109 public ports in 2020, rising to about 130 in 2021, 154 in 2022, 183 in 2023, and 217 in 2024. By 2025, the total is estimated at approximately 258 public ports, more than doubling loc al public charging capacity since 2020. This growth is in addition to privately accessible chargers on private property. City permitting records show roughly 400 private charging heads in use, a conservative estimate that excludes charging equipment installed as part of larger development projects, unpermitted chargers, or lower-level chargers that do not require permits. This rapid expansion in charging infrastructure aligns with continued growth in EV ownership. According to California Energy Commission and DMV data, residents purchased more than 11 ,000 electric vehicles in San Luis Obispo County through 2025. EVs accounted for 24%, 22%, and 22% of all light-duty vehicle sales in the County in 2023, 2024, and 2025, respectively. With the elimination of federal tax credits, continued growth local adoption of EVs and EV chargers will face new headwinds. However, durable local and regional rebates exist, including 3CE’s Electrify Your Ride, which since 2020, has issued over $2.2 million in reba tes for electric vehicles and home charging projects in the city. Page 246 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 44 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Connected 6.1.C: Assess the viability of launching a publicly accessible EV carshare program and launch if feasible. Connected 6.1.C: Continue to support a publicly accessible EV carshare program. Administration, Public Works Winter 2024 # carshare sites: 0 # vehicles in operation: 0 # annual trips made by carshare vehicle: 0 On hold Based on conversations with vendors in the early 2020s, the launch and operation of a stand-alone carshare program was identified as prohibitively costly in a low density and small community like San Luis Obispo. The City is currently working to understand how these conditions may have changed over the last several years and is currently engaging directly with Zipcar, Cal Poly’s car share program provider to learn more. Beyond that, there are no active tasks to further evaluate or pursue car share in the City’s current work program. Connected 6.1.D: Deploy EV charging infrastructure in low-income and underserved areas. Connected 6.1.D: Continue to support the installation of EV chargers in low- income and underserved areas. Administration, Community Development, Public Works Summer 2023 # of EV chargers in underserved areas: the City hosts 4 charging ports in disadvantag ed areas as defined by SLOCOG Behind The City was supported HASLO’s participation in a regional grant for EV chargers at multifamily properties. This HASLO project, when complete, will install 32 new level 1 chargers across 4 HASLO properties in San Luis Obispo (and a total of 54 chargers across 7 sites county wide). Additionally, the City has heard from community members that the Level 3 EV chargers installed at Johnson Park have provided nearby multifamily tenants with an accessible charging option near their homes. Staff have sent informatio n about grant programs that provide charging at multi-family properties to property managers, but there has been little interest in pursuing these projects. Going forward, the City will continue to prioritize providing low-income and underserved areas with access to EV charging, and in particular finding solutions for the 60% of San Luis Obispo residents who are renters. Future strategies include continuing t o connect multifamily property owners with regional technical assistance providers and EV charging incentives, as well as ongoing expansion of EV charging infrastructure on public lots and providing information about available chargers to low -income community members (e.g., the CADPS parking structures’ Level 2 chargers are also intended for overnight use by downtown residen ts). Circular Economy 1.1 Adopt an ordinance requiring organic waste subscription for all residential and commercial customers by 2022. Circular Economy 1.1.A: Implement an inspection and enforcement program to ensure compliance with SB 1383 requirements. Circular Economy 1.1.A: Maintain compliance with SB 1383 inspection and enforcement requirements. Utilities Ongoing # Notice of Violations issued annually (beginning in 2024): 15 On track The Integrated Waste Management Authority (IWMA) has established an SB 1383 inspection program that provides as -needed education and outreach to any premises found out of compliance through site visits or complaints. Enforcement guidelines were adopted under City Ordinance 1706, which grants the City’s Code Enforcement Team the authority to require corrective action for non-compliant premises. Under this process, the IWMA conducts the initial site visit or outreach, and if non-compliance persists without voluntary remediation, the case is referred to the City’s Code Enforcement Team for follow-up. Since implementation, the IWMA has conducted fifteen SB 1383-related complaint investigations, all of which were successfully resolved through IWMA outreach and education. Circular Economy 1.1.B: Comply with SB 1383 procurement requirements for recycled organic waste and paper. Circular Economy 1.1.B: Maintain compliance with SB 1383 procurement requirements. Utilities, Finance Ongoing Quantity of organic materials procured annually: over 5,000 tons On track The City continues to maintain compliance with SB 1383’s organic waste and recycled-content paper procurement requirements. The IWMA tracks and reports the annual procurement target on a countywide basis for all member agencies. Compliance is achieved through eligible organic and paper purchases, application of compost and mulch, and the renewable electricity and other benef icial byproducts generated by the Kompogas anaerobic digestion facility. In 2024, the City procured 5,255.93 tons of organic waste, which is 143% of the SB 1383 organic procurement target. The City’s Solid Waste and Recycling Team and Purchasing Team provide education and outreach to staff on SB 1383’s procurement requirements, and supply the IWMA with the necessary documentation to support ongoing compliance. Circular Economy 1.1.C: Collaborate with the IWMA to educate the public on waste minimization and the proper sorting and disposal of organic and recyclable products. Circular Economy 1.1.C: Continue to collaborate with the IWMA to educate the public on waste minimization, and the proper sorting and disposal of organic and recyclable products. Utilities Ongoing Qualitative tracking in CAP progress report On track The City and IWMA continue to collaborate on waste-minimization and proper-sorting outreach through social media posts, in-person events, presentations, and newsletters. In addition, the IWMA has developed short educational v ideos on waste reduction, which have been shared on social media platforms and broadcast on local television. Further outreach materials are being developed by the IWMA, Science Discovery, and City staff to expand community awareness and engagement. Page 247 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 45 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Circular Economy 1.2 Develop and implement program to increase edible food rescue by 20%. Circular Economy 1.2.A: Monitor and support IWMA programs that aim to increase edible food rescue. Circular Economy 1.2.A: Continue to monitor and support IWMA programs that aim to increase edible food rescue. Utilities Ongoing Qualitative tracking in CAP progress report On track The IWMA manages edible food recovery requirements countywide on behalf of member agencies, all of which have maintained full compliance. The City continues to monitor and support the IWMA’s food recovery tracking efforts and maintains a strong working relationship with the region’s primary food rescue organization, the SLO Food Bank . Since, July 2023 to October 2025, 1.7 million pounds of edible food was recovered in the City of San Luis Obispo. Circular Economy 1.3 Develop and implement a waste stream education program for HOA/Property Managers and the commercial sector. Circular Economy 1.3.A: Partner with the IWMA on waste stream education and outreach for HOA/Property Managers, as well as major employers and institutions. Circular Economy 1.3.A: Continue partnering with the IWMA on waste stream education and outreach for HOA/Property Managers, as well as major employers and institutions. Utilities Ongoing Qualitative tracking in CAP progress report On track In partnership with the City, the IWMA develops and provides outreach to commercial businesses, major employers and instituti ons, HOAs, and Property Managers. As a college town, it was recognized that Property Managers require more proactive support due to high contamination rates and frequent tenant turnover. In response, City staff expanded outreach to multi -family properties through email communication and as-needed on-site visits. Mobile home parks with shared waste services were additionally identified as key stakeholders needing updated and consistent waste-stream education, prompting increased engagement efforts. This work also aligns with the 2025 –27 Major City Goal, which prioritizes enhanced outreach to both multi-family and mobile home park communities. Large employers and institutions are also offered opportunities for on-site presentations to strengthen compliance and reduce contamination. Circular Economy 2.1 Update the Municipal Code solid waste section and bin enclosure standards. Complete. Complete. Utilities N/A N/A On track City Council adopted Ordinance 1706 to update Sections 8.04 and 8.05 of the Municipal Code to align with the requirements of Senate Bill 1383, supporting the City’s continued efforts to divert food and organic waste. In January 2024, the Trash Enclosure Design Guidelines were updated and posted to the City’s website. The City partners with San Luis Garbage throughout the permitting process to ensure that new and redeveloped sites include adequate capacity and service levels for the proper collection and diversion of trash, recycling, and organic materials. Circular Economy 2.2 Develop and expand funding for a Solid Waste section in the Utilities Department. Circular Economy 2.2.A: Support innovative organic waste collection systems for high-volume and hard-to-reach waste generators. Circular Economy 2.2.A: Continue to support innovative organic waste collection systems for high-volume and hard-to-reach waste generators. Utilities Winter 2024 Qualitative tracking in CAP progress report On track Events and multi-family complexes have been identified as high-volume waste generators with elevated contamination rates. The City provides Special Event Waste Reduction Guidelines to all permitted events, and the event application and contract clearly outline the City’s organic waste diversion requirements and local sustainability ordinances. Multi-family complexes receive additional education and outreach support, including recurring resource emails to property managers and opportunities for on -site presentations to improve compliance and reduce contamination. Circular Economy 2.2.B: Build relationships with local and regional waste industry stakeholders. Circular Economy 2.2.B: Convene a Circular Economy Stakeholder Forum to gather key stakeholders and inform future Circular Economy actions. Utilities, Administration Ongoing Qualitative tracking in CAP progress report On track The City continues to develop relationships with local industry stakeholders such as industry leaders, local advocates, non -profits, educators, practitioners, and implem enters in the local and regional waste industry. A Circular Economy Stakeholder Forum will be facilitated with these stakeholders to develop implementable and impactful actions for the forthcoming Climate Action Plan update. Page 248 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 46 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Natural Solutions 1.1 Conduct Carbon Farming Study and Pilot Project in 2021. If feasible, begin implementatio n by 2023. Natural Solutions 1.1.A: Make progress on protecting land within the City’s Greenbelt through direct purchases and conservation easements. Natural Solutions 1.1.A: Continue to make progress on protecting land within the City’s Greenbelt through direct purchases and conservation easements. Administration Ongoing Number of acres protected On track Staff actively pursue priority land conservation opportunities in ac cordance with Council direction. The City received a dedication of Righetti Hill within the Orcutt Area Specific Plan and the Natural Resources Program, along with the Ranger Service staff, worked to establish a new open space and trail system. The Righet ti Hill Open Space Conservation Plan was adopted by Council in 2023 and trail system and trailhead improvements were completed in 2025. Natural Solutions 1.1.B: Expand climate resilience and carbon sequestration practices to additional properties and sites in the City and broader Greenbelt. Natural Solutions 1.1.B: Maintain and continue to apply climate resilience and carbon sequestration practices to properties in the SLO Greenbelt. Administration, Parks and Recreation Fall 2023 Number of projects completed; acres receiving treatment/s; estimated carbon sequestered On track The City continues to apply innovative climate-informed land stewardship practices across the SLO Greenbelt, and staff continue to actively pursue external funding to expand these efforts. At Johnson Ranch the City has installed 30 "beaver dam analogs" in Dry Creek to retain water longer into the dry season, improve groundwater recharge, and improve steelhead habitat. This grant -funded project is also on track to plant over 300 native riparian plants and trees, and regenerate native perennial bunchgrasses. Additional restoration projects include regenerative grazing with goats, sheep, and cattle. The City continues to invest in regenerative contract grazing at select properties and is continually improving cattle grazing agreements and infrastructures to promote regenerative outcomes. Together these restoration activities can sequester carbon while making San Luis Obispo and its open spaces more resilient to the impacts of climate change. The City also continues to partner with the yak titʸu titʸu yak tiłhini to revive traditional ecological knowledge on City Op en Space properties including the use of cultural fire (with burns occurring in June 2024, November 2025, and December of 2025). Good fire reduces fuel loads and decreases the likelihood of catastrophic future wildfires. Tin ɨtyu "Good Fire" can also enhance and maintain biodiversity and restore perennial bunch grasses that store more carbon than invasive annual grasses. The City also continued to support and partner with City Farm SLO to deliver sustainable agriculture education for students and the community, while producing healthy local food. In early 2022, a 40-year lease extension was granted to City Farm SLO reflecting the successful long-term partnership and City Farm SLO’s plans for significant capital improvements at the property. City Farm SLO was awarded a $200,000 grant from the California Farmland Conservancy Program for site access improvements and enhancement s along Prefumo Creek, which was completed in 2024, and in 2025 an additional 1.5 acres of farmland was added to the lease area . The City will continue to further augment this effort with in-kind services and support as part of the Major City Goal work program. Natural Solutions 2.1 Prepare the City’s first Urban Forest Master Plan by 2021 and plant and maintain 10,000 new trees by 2035. Natural Solutions 2.1.A: Adopt and implement the Community Forest Plan and make significant progress on the 10 Tall goal of planting and maintaining 10,000 new trees by 2035. Natural Solutions 2.1.A: Continue implementing the Community Forest Plan and make significant progress on the 10 Tall goal of planting and maintaining 10,000 new trees by 2035. Administration, Public Works Summer 2023 Number of trees planted On track Over 6,000 new trees have been planted by the City, community partners, volunteers, and community members in both private and public spaces, in support of the City’s 2035 goal of planting 10,000 new trees. The City also continues to maintain a healthy urban forest so that existing carbon stocks stored in trees’ living tissues are resilient to present and future climate hazards. Through the intradepartmental "Keys for Trees" program in partnership with ECOS LO, the Tourism Business Improvement District (TBID) allocates 1% of their assessment of all hotel revenue in the City towards planting trees in San Luis Obispo. Keys for Trees plants roughly 40 trees per year in City parks, open space, and other locations . Staff have continued to work with ECOSLO and Rotary de Tolosa to implement tree planting, as well as community volunteers. Ar bor Day events resulted in new trees planted at French Park, along the Railroad Safety Trail, and at Santa Rosa Park, as well as providing new community relationships and educational opportunities. Staff also began cataloging where new oak trees can be planted and have begun installation of oak trees to expand the current oak forest in several City open space properties, such as Terrace Hill and Cerro San Luis. These projects were completed in collaboration with Rotary clubs, volunteers, and the California Conservation Corps. The North Chorro Greenway project, funded in part by a State of California Urban Greenways grant, installed 60 new street trees. Administrat ive Action 1 Implement Climate Action Plan with an equity lens. Implement Climate Action Plan with an equity lens. All Departments Ongoing Inclusion of equity lens in implementati on project plans On track Staff are committed to integrating equity considerations into all implementation projects on an ongoing basis. The primary way the City has centered equity in its climate work is through the internal requirement that all implementation action project plans include a detailed description of how the project will include meaningful equity considerations. This has ensured that equity stays top of mind in project implementation. Tangible results of this approach include:  Pursuing grant funds that provide administrative resources to local diversity focused non-profits.  Focusing on providing affordable air conditioning to low-income homeowners as a primary benefit of electrification.  Piloting building retrofit projects focused on affordable housing developers.  Restoring pre-COVID SLO Transit service levels.  Increasing access to safe and convenient bicycle and pedestrian infrastructure.  Supporting tribal-led cultural burns and the return of ancestral stewardship practices on City open space.  Enacting procedural equity throughout the CAP Volume 3 update and related stakeholder engagement processes. Page 249 of 251 CITY OF SAN LUIS OBISPO CAP PROGRESS REPORT APRIL 2026 PAGE - 47 - Foundational Action Action Description 2023-25 Task 2025-27 Task Responsible Department Start Date Progress Tracker Status July 2023 – March 2026 Action Progress Administrat ive Action 2 Monitor and report Plan implementatio n. Monitor and report Plan implementation. Administration, All Departments Fall 2024 Biennial GHG emissions inventory update and City Council update On track This progress report is the outcome of Administrative Action 2. Administrat ive Action 3 Regularly update the CAP. Regularly update the Climate Action Plan. Administration Winter 2026 CAP Update in 2027 On track Staff will be returning to City Council in early 2027 to present a comprehensive update to the community Climate Action Plan. This progress report supports the 2027 CAP update process. Administrat ive Action 4 Ensure transparency by reporting GHG and climate action information to public disclosure programs. Ensure transparency by reporting greenhouse gas and climate action information to public disclosure programs. Administration Summer 2023 State, national, and international disclosure platforms On track The City reports on a wide range of greenhouse gas emissions and resilience efforts to the Carbon Disclosure Project (CDP) on a biennial basis. The City received “A-List” status, the highest grade for a disclosing City, in 2021 and 2023. The City received an A- in 2025 (with the minus coming because the City did not have an aggressive enough 2030 target). The City will submit for scoring again in 2027. Administrat ive Action 5 Develop mitigation program for new development to illustrate consistency with the CAP. Complete Community Development N/A N/A On track The mitigation program was developed as part of the 2020 CAP via local California Environmental Quality Act thresholds of significance for greenhouse gas emissions and a related Climate Action Plan consistency checklist. The thresholds and checkli st were intended to apply to development projects that required CEQA review and that resulted in mitigated negative declarations or full environmental impact reports. According to staff’s records, there have been seven projects since 2020 that have been rev iewed against this standard. All of these projects chose zero operat ional emissions via high-efficiency electric appliances and systems. It should be noted that state law has substantially reduced the number of projects required to undergo environmental review, which means fewer projects will be required to illustrate consistency with the CAP’s local GHG emissions thresholds moving forward. Fortunately, the 2025 California Energy Code will be in place through 2031 and heavily incentives new buildings to be mostly-electric. Administrat ive Action 6 Pursue grants opportunistical ly and strategically. Pursue grants opportunistically and strategically. Administration Ongoing Number of grant applications; total funds received On track Since 2023, the City has pursued dozens of grants related to support community climate action solutions for green buildings, transit, active transportation, solid waste, and natural solutions. Additionally, the City has brought in approximately $15.5 milli on since 2020 to implement the Lead by Example pillar of the CAP which focuses on carbon neutrality projects at City facilities. Successful external funding, including grants, rebates, incentives, and tax refunds across all CAP pillars s are estimated to exceed $57 million since 2020. Administrat ive Action 7 Engage in legislative and regulatory advocacy. Engage in legislative and regulatory advocacy. Administration Ongoing Update annual Legislative Action Platform On track Since 2020, the City has included a sustainability and energy plank in the annual Legislative Action Platform and has submitted letters in support of legislation that is supports and advances the City’s climate work. In 2025, the City participated more directly in legislative advocacy around AB 130, which would have precluded the City from adopting energy efficiency reach codes. Due to direct advocacy with legislators and collaboration with aligned organizations including CalCities, the final legislation included an exemption that allows the City to continue adopting and enforcing energy reach codes. Page 250 of 251 The Local Government Climate Alliance (LGCA) unites California cities and counties to advocate for bold, equitable climate policies at the state level. LGCA leverages joint advocacy, knowledge sharing, and collective influence to accelerate action and deliver benefits to local communities across California. VALUE PROPOSITION Local governments lack a powerful voice in Sacramento to advocate for the nuanced and often technical climate solutions that are needed to reach local climate goals and keep communities safe. Existing municipal lobbyists are often underinformed about climate issues, and are necessarily spread thin across topical issues to represent the totality of local government priorities. LGCA will bring the focus and expertise necessary to advance impactful equitable climate solutions in California’s crowded advocacy space. GUIDING PRINCIPLES To drive the impactful, equitable, and scalable solutions needed to significantly accelerate statewide climate action, deliver lasting benefits to local communities, and meet climate goals ahead of California’s 2030 and 2045 targets, LGCA will work to: 1. Expand cities’ authority for local climate action and securing funding. 2. Accelerate affordable access to clean electricity, electrified transportation, zero-emission buildings, and low-carbon industry. 3. Remove barriers for local clean energy and climate strategies. 4. Ensure retraining, wage protection, and community reinvestment as cities and counties phase out fossil fuels. 5. Invest in wildfire prevention, water security, coastal resilience, habitat restoration, and urban greening, using nature-based solutions when possible. 6. Improve housing affordability, air quality, public transit access, public health and safety, and local economic development. GOVERNANCE The General Assembly of Core Members, Partners, and Affiliates will meet every other month, and will be led by a Chair and Vice Chair. Committees include an elected Executive Steering Committee (meets monthly) and a Policy Advisory Committee (meets monthly) and topic-specific subcommittees. Core Members commit to attending monthly Policy Advisory Committee meetings. The full General Assembly will meet at least once annually. Equity is embedded in all decisions. ● Core Members: Cities/counties, full voting rights. ● Observing Members: Cities/counties, limited participation, non-voting. ● Affiliates: Regional agencies, nonprofits, academics, tribal governments (advisors). MEMBERSHIP AND DUES Local Government (by population) Affiliate (by employee count) < 50,000: $1,500 1-20: $1,500 50,000 - 150,000 $4,500 20+: $2,500 150,001 - 500,000 $6,500 500,001+ $8,000 LGCA membership will consider a jurisdiction’s population size and ability to pay and will make accommodations wherever practicable. This flexible approach recognizes that every city and county has different resources, priorities, and constraints, while ensuring we can sustain strong, coordinated climate advocacy together. The City of Santa Barbara will serve as LGCA’s initial fiscal sponsor, with alternative sponsorship options to be explored in future years. Page 251 of 251