HomeMy WebLinkAboutSB 931 (Laird) Diablo Community Mitigation Funding - August 2026 - City of SLO - Letter of SupportCity of San Luis Obispo, Office of the City Council, 990 Palm Street, San Luis Obispo, CA, 93401-3249, 805.781.7114,
slocity.org
July 29, 2026
The Honorable Buffy Wicks
Chair, Assembly Appropriations Committee
1020 N Street, Room 104
Sacramento, CA 95814
Subject: City of San Luis Obispo Position on SB 931 – Fiscal Mitigation and Community Impacts
Funding (As amended on June 29, 2026)
Dear Chair Wicks and the Assembly Appropriations Committee,
On behalf of the City of San Luis Obispo (City), we write to express our strong support for Senate
Bill 931 (Laird), which ensures the continuation of funding for the Community Impacts Mitigation
Program associated with the extended operation of Diablo Canyon Power Plant (DCPP).
The City appreciates Senator Laird's leadership in advancing SB 931 to address a critical gap created
when Diablo Canyon's operations were extended without a corresponding extension of Community
Impacts Mitigation Program funding. SB 931 restores funding for the Essential Services Mitigation
Fund through annual appropriations during Diablo Canyon's authorized extended operations,
ensuring that local governments and school districts continue receiving support intended by the
Legislature when it enacted SB 1090.
The Essential Services Mitigation Fund plays a vital role in helping local governments and school
districts manage the financial impacts associated with Diablo Canyon's continued operation. While
SB 931 provides much-needed continuity for this funding, the City continues to emphasize that
these resources do not fully offset the broader and ongoing fiscal impacts resulting from the loss of
historic unitary tax revenues beginning in 2025. That loss has created significant and continuing
structural challenges for agencies responsible for delivering core public services.
Local jurisdictions and school districts have long depended on these revenues to support public
safety, infrastructure maintenance, emergency preparedness, and other essential services.
Continued operation of DCPP without restoration or replacement of this revenue source places a
disproportionate financial burden on the communities hosting critical statewide energy
infrastructure.
The City supports SB 931 as an important and necessary step toward maintaining fiscal stability for
impacted communities and encourages the Legislature to continue pursuing long-term solutions
that ensure communities hosting critical statewide energy infrastructure are not left to absorb the
fiscal consequences of statewide energy policy decisions.
The City of San Luis Obispo stands ready to work collaboratively with the Legislature, Senator Laird,
Assemblymember Addis, and regional partners to advance equitable and fiscally responsible
solutions.
Thank you for your consideration.
Sincerely,
Erica A. Stewart
Mayor, City of San Luis Obispo
cc. Senate Committee on Energy, Utilities, and Communications
Senate Committee on Rules
Senator John Laird
Assemblymember Dawn Addis
Dave Mullinax, Cal Cities
League of California Cities, cityletters@cacities.org