Santa Cruz · issues
Civic issues
Topics getting the most attention in Santa Cruz public meetings, ranked by how frequently they come up.
Objective Design Standards and Heritage Tree Regulations
The Council launched a Housing Ad Hoc Committee to shape design guidelines, decided against expanding the downtown density bonus beyond downtown, and asked for draft heritage tree rules for housing projects by Fall 2026.
Graham Hill Water Treatment Plant Improvements
The water department is rate-funded and planning major projects — the Graham Hill treatment facility improvement (2027-2032) and pipeline replacements — with $300 million already invested system-wide. Demand keeps falling even as the service population triples.
Commercial Permit Life Extension
Permits approved between 2019 and 2026 would stay valid until January 1, 2030, so those businesses don't have to reapply. It needs Coastal Commission approval to take effect in the coastal zone.
Sewer Rates and Charges Ordinance
Updates the sewer code so property owners who pay to upsize or fix existing sewer mains can be reimbursed as neighboring properties later connect — bringing old rules in line with today's redevelopment reality.
Housing Rules Updated for State Law; Lot Consolidation Fee Deferred
Council reviewed SB 79, AB 130 and SB 131, which streamline infill housing approvals and limit CEQA review, plus six new e-bike-related bills.
Housing Goals
A broad set of minor code changes was scheduled for a public hearing — covering inclusionary housing, lot consolidation, agricultural employee housing, and supportive/transitional housing — to implement state law and the Housing Element, plus a General Plan alignment with climate and hazard plans.
Residential Permit Parking Cost Increase and Vision Zero Update
The $30/year permit program runs at a deficit (66–77% cost recovery), and commissioners discussed cutting permits per address from five to four, tiered pricing that charges more for each additional car, and a streamlined process triggered by building permits rather than entitlements. Several commissioners said the city shouldn't subsidize parking and that price is the main lever it has left under state law.
Transportation Impact Fee Study Delayed
The current traffic impact fee sends 80% of revenue to car-oriented projects and charges over $5,000 per PM trip, which commissioners said can scuttle small projects and doesn't reflect how new residents actually get around. Staff applied for a Caltrans grant to rebuild the fee around a multimodal project list, and commissioners want more money flowing to transit, bikes, and especially sidewalks.
Vibrancy Ordinance – Commercial Building Vacancies
Downtown is rebounding — 20 new businesses since the ordinance took effect, vacancies down to 9 on Pacific Avenue. Council raised the vacancy registry fee to $4,000/year, sped up window-covering deadlines, and funded a $76,000 grant program.
FY 2026 Year-End Budget Adjustment and FY 2027 Budget Restatement
A $24.7 million adjustment to city spending across all funds, including a $2.7 million boost to the general fund, plus staffing changes across eight departments. It passed quietly on the consent agenda, though one speaker flagged the size of the revenue decrease.
Use of Measure Z sugar-sweetened beverage tax revenue
The city has collected $3.5 million from the sugar-sweetened beverage tax, but a court appeal means that money likely can't be spent for a year to 18 months. The committee is building a work plan and funding strategy, which will eventually need council approval.
Wireless Telecommunication Facility Expansion at 2000 Soquel Avenue
A proposal to extend the height of an existing cell tower and add equipment near a steep slope on Soquel Avenue was reviewed and approved. The project ensures continued wireless service coverage while navigating local height limits and environmental slope constraints.
New utility portal ACH fee
A speaker flagged that the City's new online payment system charges $0.45–$0.47 per ACH bank transfer and asked the Council to eliminate it as a cost of doing business — no action was taken.
Adoption of the City Road Safety Action Plan
Santa Cruz has a citywide plan to cut traffic deaths and serious injuries, and the commission wants the council to adopt it along with lower speed limits on 30 mph streets and near schools, plus a dedicated task force to study crash hotspots. Safer streets affect everyone who walks, bikes, or drives.
Citywide Permit Parking Restrictions for Developments
State law lets new apartments near transit skip parking, and neighbors fear spillover. Council authorized a consultant RFP and told staff to come back in the fall with permit-parking code updates — including possibly barring new no-parking multifamily buildings from residential permit districts.
County Enhanced Infrastructure Financing District participation
The City will pitch Santa Cruz County on letting the City join the county's new EIFD, with a consultant contract amendment up to $197,500 total — a financing tool that channels tax increment into infrastructure.
Beltz Well 9 Aquifer Storage and Recovery Design
The Council hired EKI Environment & Water for $468,000 to design upgrades that let the city store water underground at Beltz Well 9, shoring up water supply.
Alternative TDM compliance for school district housing
Introduced an ordinance letting school district residential projects meet transportation demand management rules another way — a follow-up to the educator workforce housing project approved in March 2025.