Santa Cruz County business filings: Week of May 5
Businesses operating in Santa Cruz County must register with the county clerk. Lookout Santa Cruz reviews the public filings from local businesses to report on new businesses starting in the area.
Here is what’s new in local business recently.
New businesses- LOQUAT HEALTH was registered at 2955 Park Ave., Soquel, by Olivia W.r. Baker as an individual business on April 20.
- DEGRANDE MARKETPLACE was registered at 120 Gail Dr., Felton, by Donna Degrande as an individual business on April 20.
- CHRYSALIS BLOOM THERAPY was registered at 684 30th Ave., Santa Cruz, by Jessica Marie Ignacio as an individual business on April 20.
- LONE OAK REAL ESTATE was registered at 501 Soquel Ave., Suite J, Santa Cruz, by The Rezzato Group LLC as a limited liability company on April 21.
- J AND J DESIGN PRINTING was registered at 70 Mariposa Ave., Suite B, Watsonville, by Jesus Duarte Orozco as an individual business on April 21.
- RANCHO CERRITOS MHP was registered at 2121 Kralj Dr., Watsonville, by Jc Rancho LLC on April 21.
- WESTSIDE WINDOWS was registered at 10 Sunlit Lane, Santa Cruz, by Blue Echo, Inc. as a corporation on April 21.
- TRADER KIKI was registered at 16 Crescent Dr., Scotts Valley, by Kacey Lee Lewis as an individual business on April 21.
- CROSSFIT APTOS was registered at 7960 Soquel Dr., D1, Aptos, by Strong Ever After LLC as a limited liability company on April 22.
- LEM O’NADI was registered at 934 Lake Village Dr., Watsonville, by Nadia P. De La Torre as an individual business on April 22.
- 410 EXTRACTS was registered at 236 Encinal St., Santa Cruz, by SC Bloom Network Inc. as a corporation on April 22.
- SMALL TOWN COOKIE CO. was registered at 260 Villa Way, Boulder Creek, by Rebecca Wels as an individual business on April 22.
- THE CAN BUDDY was registered at 207 Spring St., Santa Cruz, by Matthew Peter Stelling as an individual business on April 22.
- HEALTHY ROOTS TREE CARE was registered at 2317 Vine Hill Rd., Santa Cruz, by Josias M. Harder as an individual business on April 22.
- WILLOW WORKS was registered at 5980 Highway 9, Felton, by Mariana Catarina Timmer as an individual business on April 22.
- OCEAN MAHJ was registered at 506 Hampstead Way, Santa Cruz, by Merilee Colle Ferdinand as an individual business on April 22.
- SANTA CRUZ PAINT CO. was registered at 3912 Portola Dr., S1, Santa Cruz, by Artt Paint Supplies LLC as a limited liability company on April 22.
- HARVEY WEST STUDIOS was registered at 119 Coral St., Santa Cruz, by 180 Supportive Housing, LLC as a limited liability company on April 22.
- JOHNNY’S ROAD DAWGS was registered at 1326 El Rancho Dr., Santa Cruz, by John Gambardella as an individual business on April 23.
- XDALLAS DESIGN was registered at 1646 Dolphin Dr., Aptos, by Dallas John Macdonald as an individual business on April 23.
- SWINGLINE TREE SERVICES was registered at 11560 Clear Creek Rd., Brookdale, by Feliciano, Jr., Gerard as an individual business on April 23.
- THE SAWMILL was registered at 15520 Highway 9, Boulder Creek, by Alex Lewis Consulting LLC as a limited liability company on April 23.
- SMARTWIRE was registered at 153 Marine Parade, Santa Cruz, by Robert Brian Hubbard as an individual business on April 24.
- METICULOUS MAID was registered at 14785 Big Basin Way, Boulder Creek, by Rachael A. Danckert as an individual business on April 24.
- Pantoja’s Junk Hauling & Removal was registered at 737 Glemar St., Watsonville, by Jesus E Pantoja Flores as an individual business on April 24.
- ROOTS BOUTIQUE SALON was registered at 2920 Park Ave., Suite C, Soquel, by Kelli Butcher as an individual business on April 24.
- Taproot Massage and Wellness was registered at 412 Cedar St., Suite A, Santa Cruz, by Julie Gallant as an individual business on April 24.
- KARINA GARCIA CPR TRAINING was registered at 582 Arlene Dr., Watsonville, by Karina Garcia as an individual business on April 24.
- MACKENZIE DONALDSON HAIR was registered at 2920 Park Ave., Suite C, Soquel, by Mackenzie Donaldson as an individual business on April 24.
- MID-COAST CHARTERS was registered at 111 Rogers Ave., Watsonville, by Kavi Treesong-engel as an individual business on April 24.
- On Point Wellness was registered at 879 41st Ave., Santa Cruz, by Jordan Michael Boerner as an individual business on April 25.
- FELTON DONUTS AND PASTRIES was registered at 6259 Graham Hill Rd., Felton, by Veasna Chuop as a business operated by a married couple on April 25.
- LAND AND LEAF ADVISORY, MOUNTAIN FLOWER FARMS, PURE AQUASCAPES was registered at 110 Brookwood Dr., Santa Cruz, by Sgid, Inc. as a corporation on April 25.
- ADOBOLOCO was registered at 3744 Capitola Rd., Santa Cruz, by Tnt Island Foods, LLC as a limited liability company on April 27.
- SANTA CRUZ OCEAN PAINTING was registered at 203 Dutchman Rd., Watsonville, by Alejandro Muniz Flores as a general partnership on April 27.
- HUMBLE SEA TAVERN was registered at 6256 Highway 9, Felton, by Humble Sea, Inc. as a corporation on April 27.
- MIRROR VANITY was registered at 278 Green Valley Rd., Freedom, by Eileens Exhibit LLC as a limited liability company on April 27.
- CANOPY MEDICAL CLINIC was registered at 9571 Highway 9, Ben Lomond, by California Rehab Physicians Professional Corporation as a corporation on April 28.
- REDWOOD LEDGERS was registered at 206 Sylvan Way, Felton, by Raechel Leigh Duurvoort as an individual business on April 28.
- APPARENT READING BACKFLOW TESTING was registered at 417 Cliff St., #8, Santa Cruz, by Hector Uribe Jr. as an individual business on April 28.
- PLEASANT VALLEY ART STUDIO was registered at 1015 Pleasant Valley Rd., Aptos, by Sandy Shaw, LLC as a limited liability company on April 28.
- REDWOODS FOREST BATHING was registered at 1027 Smith Grade, Santa Cruz, by Natura Collective Supply LLC as a limited liability company on April 28.
- INDEPENDENT 1 STOP SHOP was registered at 705 Capitola Rd., Santa Cruz, by Francisco Arana as an individual business on April 29.
- LANDSCAPING was registered at 141 Vista De Lago Circle, Watsonville, by J. Jesus Fernandez Vasquez as an individual business on April 29.
- SANTA CRUZ FLAMENCO was registered at 61 Airport Rd., Freedom, by Barbara Imhoff as an individual business on April 29.
- SC CUSTOMS was registered at 2851 Research Park Dr., Unit E, Soquel, by Kaizo Automotive LLC as a limited liability company on April 29.
- RESILIENT RECOVERY SERVICES was registered at 174 Suburbia Ave., Santa Cruz, by Laurie Susan Sanford as an individual business on April 29.
- LITTLE OTTER LITERACY was registered at 118 Bennett Rd., Aptos, by Little Otter Literacy LLC as a limited liability company on April 30.
- DHARMA FUNDER was registered at 7909 Fremont Ave., Ben Lomond, by Rebecca Funder as an individual business on April 30.
- TRAMP STAMP INK was registered at 128 Pearl Alley, Santa Cruz, by Robert Klem as an individual business on April 30.
- J & D MARKET was registered at 226 Riverside Dr., Watsonville, by Eun Chu Cho as an individual business on April 30.
- BUDGET BLINDS OF SAN JOSE WEST, BUDGET BLINDS OF SANTA CLARA was registered at 307 Oak Creek Blvd., Scotts Valley, by Aumkar LLC as a limited liability company on April 30.
- WELL DOULA was registered at 2460 17th Ave., #1111, Santa Cruz, by Emily Kathryn Lauri as an individual business on May 1.
- DJ Shazam was registered at 101 Cooper St., Santa Cruz, by Aym Entertain LLC as a limited liability company on May 1.
Have news that should be in Lookout Briefs? Send your news releases, including contact information, to news@lookoutlocal.com.
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Cabrillo College board censures trustee Steve Trujillo after finding he violated board policy
The Cabrillo College governing board voted Monday night to censure trustee Steve Trujillo after determining he violated board policies on four occasions. The censure, which bars him from leadership roles and committee service for three years, follows prior disciplinary action in 2023.
Tuesday morning traffic: Westbound SR-152 lane closed for paving until July 3
This post is updated throughout the day to reflect the latest incidents. It was last updated at 7:30 a.m..
Here’s what’s happening on the roads this morning…
▼︎ new incidents
Road incidents as of 7:30 a.m. on May 5- A lane on westbound SR-152 at Clifford Drive/Ohlone Parkway in Watsonville and Pajaro is closed for asphalt paving. The closure will last until July 3 at 5:59 a.m.
Disclosure: Traffic incidents are partially generated by artificial intelligence. We are constantly working to improve the accuracy and quality of our AI-generated content. However, there may still be errors or inaccuracies. If you have any questions or concerns, please contact us.
The post Tuesday morning traffic: Westbound SR-152 lane closed for paving until July 3 appeared first on Lookout Santa Cruz.
Longest-running longboard surf contest in the U.S. returns to Steamer Lane
The Santa Cruz Longboard Union Club Invitational, the longest-running longboard surf contest in the United States, according to the club, returns to Steamer Lane this Memorial Day weekend.
The Santa Cruz Longboard Union, founded in 1981, is a nonprofit organization committed to supporting surf culture and community engagement through events, outreach and competition.
Blending surf heritage with community impact, the annual event aims to represent the Santa Cruz surf culture, as well as raise money for local nonprofits, according to a news release from the group.
Nearly 200 surfers from across California will gather to compete for trophies and points within The Coalition of Surfing Clubs. As an official invitational, participation is limited to coalition-affiliated surf teams.
The invitational will take place May 23 and 24 at the iconic surf break Steamer Lane along West Cliff Drive, near the Santa Cruz Surfing Museum and lighthouse.
The event will also feature a vendor marketplace on both Saturday and Sunday.
More than 14 local vendors will be on hand offering handcrafted goods, including clothing, jewelry, candles, wetsuits and other surf-inspired products. Attendees can also purchase food and drinks from nearby Steamer Lane Supply.
The Santa Cruz Longboard Union Club Invitational happens May 23 and 24, from 7 a.m to 5 p.m., at 700 West Cliff Dr. The event is free and open to the public.
Have news that should be in Lookout Briefs? Send your news releases, including contact information, to news@lookoutlocal.com.
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Friends of Santa Cruz Metro unlikely to collect enough signatures for ballot measure with deadline a week away
With less than a week to go, Friends of Santa Cruz Metro expects it will not be able to gather the signatures needed to get its proposal for a half-cent sales tax on this November’s ballot.
Two Santa Cruz County teachers unions at impasse with their districts over contract negotiations
Teachers unions at Pacific Collegiate School and in Pajaro Valley Unified School District have reached an impasse with administrators after months of stalled contract negotiations over pay and benefits, moving them closer to a potential strike. The disagreements center on salary increases and a proposed cap on health benefits.
Santa Cruz County children are at risk for whooping cough and measles. Vaccines can protect them.
Preventable diseases are making a troubling comeback in Santa Cruz County, with whooping cough cases already rising to 33 this year already and measles spreading across California. Most of the cases are starting in middle and high schools, write local pediatric providers. They warn that declining vaccination rates and missed boosters are leaving children, especially infants, vulnerable. The risks of these highly contagious illnesses are real, they write, and stress routine immunizations remain the strongest defense. The moment is urgent: Staying up to date on vaccines will protect us all.
In the six-way race to be California’s treasurer, it likely comes down to two Democrats
Selling bonds. Awarding tax credits. Overseeing pension funds. Investing idle cash for maximum return.
These are the roles of California’s treasurer, a job that evokes someone with a fondness for green eyeshades and a favorite Excel function.
But in California — as in most other states — it’s a job that goes to a politician.
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That might leave voters wondering: What’s the best combination of skills, experience and values for such an exceedingly wonky job?
Ask the six candidates and you’re liable to get six different answers.
California’s next money manager should be a detail-oriented former diplomat, according to Lt. Gov. Eleni Kounalakis.
For state Sen. Anna Caballero, Kounalakis’ chief Democratic rival, the better option is a wily elected official from a working-class community with experience running a government bureaucracy.
The two Republicans, Jennifer Hawks and David Serpa, both believe it should be someone eager to check the fiscal impulses of California’s overwhelmingly Democratic political establishment.
Board of Equalization member Tony Vazquez thinks a longtime elected tax commissioner is a good fit. Glenn Turner, a former crystal and Tarot card seller-turned mental health activist, believes the role calls for someone with a radical political vision.
Not even turn-of-the-century Gov. Hiram Johnson, one of modern California’s political founding fathers, knew what makes a good state treasurer. The job, he complained to the Legislature in 1911, is “merely clerical” and its “qualifications naturally can not be well understood.”
The June 2 race is largely a rivalry between the top Democrats.
Kounalakis vs. CaballeroThere isn’t much reliable public polling, but as measured by name recognition, high-caliber endorsements and campaign cash on hand, this is Kounalakis’ race to lose.
That’s in part thanks to her current role as lieutenant governor — a job that commands statewide name ID and governing experience, even if its list of responsibilities is relatively short.
Kounalakis’ personal fortune has also surely helped her become a top candidate. The daughter of developer Angelo Tsakopolous, founder of Sacramento-based AKT Development Corporation, she has nearly nine times as much money parked in her campaign account as the other five candidates combined.
Kounalakis entered Democratic politics as a major donor, helping her secure an ambassadorship to Hungary under President Barack Obama. Those fundraising connections also have paid off this cycle: She is endorsed by former first lady Hillary Clinton, former U.S. Speaker Nancy Pelosi and Gov. Gavin Newsom.
From left, state Sen. Anna Caballero and Lt. Gov. Eleni Kounalakis. Credit: Fred Greaves and Miguel Gutierrez Jr. for CalMattersKounalakis wouldn’t be the first to take this path to the treasurer’s office. Phil Angeledes, who served from 1999 to 2007, is also an AKT alum whose political career was partially funded by Tsakopolous.
Though Kounalakis initially ran to replace Newsom as governor, she switched to the lower-profile treasurer’s race last summer amid flagging prospects in a crowded field. But Kounalakis, whose campaign did not respond to requests for an interview, has since argued that her experience as a developer and her self-professed technical orientation make the role of treasurer a better fit. She told the San Francisco Chronicle that she craved a technical role after so many years as a diplomat “standing in front of a podium with a visiting dignitary.”
Kounalakis’ decision was an unwelcome development for state Sen. Anna Caballero. A longtime state legislator who served as Business, Consumer Services and Housing Agency secretary under former Gov. Jerry Brown, the Merced Democrat was the presumptive favorite until then. Caballero has the upper hand by at least one metric: She has raised more money than Kounalakis since the beginning of this year, even if her campaign account is dwarfed by the war chest the lieutenant governor has amassed over the years.
Both Kounalakis and Caballero are termed out of their current roles.
The competition between the two top Democratic hopefuls is fierce, even if they don’t seem to disagree about much.
Both want the state to simplify the application process for affordable housing subsidies — which is already in the works with the governor’s new housing agency. Both support recent treasurer’s initiatives to direct state funds toward renewable energy projects and to administer a retirement savings program for workers whose employers don’t offer pension or 401(k) accounts. Both expressed enthusiasm about a proposal to require state banks and other financial institutions to lend more in lower income neighborhoods and communities.
Where there is daylight between the two, it is more a matter of emphasis than major disagreement. Caballero, for example, avidly promotes the use of hydrogen and dairy gas as gasoline alternatives and said the treasurer could foster private-public partnerships in those industries. As a member of the State Lands Commission, Kounalakis is an avid advocate for offshore wind power development.
Who will make the top two?Though Kounalakis and Caballero are the two most formidable candidates, it’s far from certain that both will make it to the November ballot. One of the top two spots could easily go to a Republican under California’s system in which the top two vote-getters advance.
California’s Republican establishment has been doing everything possible to make that happen. The California Republican Party formally endorsed Jennifer Hawks, a Bay Area party activist and former private school administrator, over fellow Republican David Serpa. Reform California, the conservative fundraising and get-out-the-vote organization run by Republican Assemblymember Carl DeMaio, also endorsed her.
“There’s a risk of splitting the vote,” DeMaio noted in a livestreamed conversation with Hawks. “We need to make sure that we have someone in the general election that we can be proud of.”
What does the treasurer do?The day-to-day work is mostly done by professional staff and it doesn’t vary much with changes at the top. That doesn’t afford their elected boss much room for creativity or innovation. Bill Lockyer, the state’s treasurer between 2007 and 2015, said the job’s main role is to ensure that work is done with Californians in mind — that the “professional staff is managing responsibly.”
Still, there are occasional opportunities to do more with the job. Lockyer pointed to his decision to invest in international renewable energy projects through the World Bank — a first for the state — as one of his most important achievements. When Angeledes held the office, he used the treasurer’s posts on the boards of the state’s two major public employee pension funds to inveigh against investment banks and to champion the rights of shareholders. Other Democratic treasurers have acted as fiscal foils to Republican governors.
Since the days of Hiram Johnson, the post has also occasionally been derided as a sinecure for career politicians awaiting their next move.
That, said Caballero, is decidedly not why she wants to be treasurer. Pointing to her work on housing policy and rural economic development, she said everything in her legislative career “relates back to what’s in the treasurer’s office.”
Adding a not-so-subtle dig at Kounalakis: “I’m not on a stepping stone up to something else.”
Not that the treasurer’s office has been a particularly effective stepping stone: Angeledes, Kathleen Brown, and, more recently, John Chiang all attempted post-treasurer’s office runs for governor. None succeeded.
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California investigates Trump administration’s deal to end an offshore wind project
California is investigating one of the Trump administration’s deals to end an offshore wind project off Morro Bay, with the California Energy Commission saying it has issued an administrative subpoena to Golden State Wind.
Democracy in action: Lookout brings its first Watsonville election forum to South County
Election season is here – and if the energy in the room on April 15 was any indication, South County voters are ready.
Lookout Santa Cruz hosted its first election forum in Watsonville that Wednesday evening, bringing together the three candidates vying for the District 4 Santa Cruz County supervisor seat: incumbent Felipe Hernandez and challengers Tony Nuñez and Elias Gonzales. Nearly 80 people packed the room (and 50 joined online) to hear the candidates make their case on issues that hit close to home – housing, economic investment, homelessness and the controversial battery storage project proposed for outside Watsonville.
The conversation was lively, substantive and at times pointed. All three candidates agreed on one foundational truth: South County has long been underserved by county government. What they disagreed on – and debated with real energy – was what to do about it.
Election coverage is free – thanks to our members
All of Lookout’s election coverage – forums, candidate profiles, voter guides – is free and open to everyone. That’s only possible because of our members, who make it their business to ensure that civic information reaches the whole community, not just those who can afford a subscription.
If you want to be part of making that happen, now is a great time to join. We have a special election membership offer: your first year for just $99 with coupon code Election2026.
Democracy works better when people are informed. We’re here to help with that – in English, in Spanish, in Watsonville, and across the county.
Two years ago, we welcomed Tania Ortiz to the Lookout team as our South County correspondent. Tania covers the Pajaro Valley with the depth, context and community trust that only comes from being genuinely embedded in the place you cover. The April 15 forum, with bilingual translation available, was a direct expression of that commitment – bringing Lookout’s civic journalism not just to South County online, but in person.
You can read Tania’s full coverage of the forum and overall South County candidate coverage – including Spanish-language versions – on our election central page.
What’s next: Mark your calendar for May 7
Our election season is just getting started. Join us on Thursday, May 7, from 5:30 to 8 p.m. at Hotel Paradox for our next forum, covering the Santa Cruz city mayoral race and city council races for Districts 4 and 6. If you care about the direction of Santa Cruz city government, this is the event to be at. Space is limited and spots are filling quickly, so RSVP now.
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El presupuesto del condado de Santa Cruz recurrirá a reservas para afrontar desafíos financieros causados por cambios en el financiamiento federal
Esta traducción fue generada utilizando inteligencia artificial y ha sido revisada por un hablante nativo de español; si bien nos esforzamos por lograr precisión, pueden ocurrir algunos errores de traducción. Para leer el artículo en inglés, haga clic aquí.
Funcionarios del condado de Santa Cruz dicen que necesitarán recurrir a las reservas del condado en el próximo año fiscal para ayudar a afrontar desafíos financieros causados por menores ingresos y menos financiamiento federal.
Según un informe del personal, el condado planea usar casi 43 millones de dólares en financiamiento combinado de una sola vez de sus reservas del fondo general y de fondos fiduciarios departamentales para ayudar a evitar despidos de empleados y mantener los servicios de red de seguridad que son proporcionados por la Agencia de Servicios de Salud.
El condado de Santa Cruz ha operado bajo “fuertes restricciones fiscales” durante un tiempo y también está viendo una reducción en los ingresos por impuestos sobre las ventas a medida que más personas compran en línea, escribió Nicole Coburn, la funcionaria ejecutiva del condado, en un artículo de opinión publicado el domingo en la sección Community Voices de Lookout. El condado recibe solo 13 centavos de cada dólar de impuestos a la propiedad, escribió en el artículo.
Tras recortes al financiamiento federal el verano pasado, los desafíos financieros solo se han intensificado a un “grado insostenible,” escribió Coburn. La primera de cuatro audiencias presupuestarias del condado está programada para el 5 de mayo en Santa Cruz.
En marzo, el condado proyectó un déficit de 23.2 millones de dólares para el año fiscal 2026-27 y un déficit estructural a largo plazo que podría superar los 67 millones de dólares para 2028-29 en ausencia de medidas de mitigación. El condado implementó restricciones de viaje y contratación y pidió que los departamentos buscaran maneras de equilibrar sus respectivos presupuestos.
El condado también eliminará un total de 57.88 puestos de tiempo completo, aunque vacantes, en todos los departamentos. Muchos de los puestos vacantes que se eliminarán pertenecían a los servicios de salud y humanos del condado.
El año pasado, la agencia de salud despidió a cuatro de sus empleados como resultado de restricciones presupuestarias, una cifra que habría sido mayor si la Junta de Supervisores del Condado de Santa Cruz no hubiera redirigido más de 500,000 dólares de iniciativas de carreteras y vivienda hacia la agencia.
El uso de las reservas del fondo general tiene un costo, sin embargo. El personal del condado proyecta que las reservas disminuirán de 12.5% a 10.4% de sus gastos del fondo general, por debajo del promedio de los condados de California. También está por debajo del objetivo de 15% aprobado por la junta de supervisores.
La medida reduciría las reservas existentes del condado a 87 millones de dólares. Actualmente, el condado tiene casi 107.8 millones de dólares en sus reservas del fondo general. Al menos 30.8 millones de dólares se usarán de las reservas y 12.2 millones de dólares de los fondos fiduciarios departamentales para ayudar a equilibrar el presupuesto.
Por lo general, las reservas se usan como un fondo para “tiempos difíciles” para desastres naturales, como incendios forestales e inundaciones severas, para ayudar a gestionar el flujo de efectivo y como un colchón contra recesiones económicas. La cantidad que una agencia gubernamental tiene en sus reservas también actúa como una señal para los sistemas de calificación crediticia sobre la flexibilidad financiera.
Para reconstruir las reservas hasta 15%, dicen los empleados, se “requerirá una combinación de crecimiento de ingresos, contención de costos y alineación fiscal estructural” a partir del año fiscal 2027-28. El condado también está desarrollando un plan plurianual para restaurar sus reservas.
El portavoz del condado Jason Hoppin dijo a Lookout que el condado está apoyando una solicitud coordinada al estado a través de la Asociación de Condados del Estado de California por 1.9 millones de dólares para el presupuesto 2026-27 para ayudar a los condados, incluido Santa Cruz, a estabilizar los programas de red de seguridad tras recortes al financiamiento federal.
Hoppin dijo que el condado también podría buscar otras maneras de aumentar el desarrollo económico, que dijo ha sido pasado por alto históricamente.
Pero un objetivo principal, dijo Hoppin, es evitar recortes a su fuerza laboral.
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What is a HELOC? A simple guide to using your home’s equity
If you’ve owned your home for a while, you’ve likely built up equity without even thinking about it. Equity can be a powerful financial tool, but many homeowners aren’t sure how to access it or when it makes sense. One option you may have heard about is a Home Equity Line of Credit, or a HELOC, but what does that mean for you?
We sat down with Kaila, one of Bay Federal’s Home Loan Consultants, to break it down in a way that actually makes sense.
Kaila Linkswiler, a Home Loan Consultant at Bay Federal Credit Union. Credit: Bay Federal Credit UnionQ: Let’s start simple. What is a HELOC?
Kaila: The easiest way to think about a HELOC is that it’s a way to tap into your home’s equity. You can use the money however you want, but one of the biggest benefits right now is that you don’t have to touch your first mortgage to get cash out.
Q: Why does not touching your mortgage matter?
Kaila: Many homeowners have really good interest rates on their first mortgage. If you refinance, you could lose that. A HELOC lets you access cash without replacing that loan, so you keep your existing rate and only borrow what you need on the side. It also allows you to have access to that equity without necessarily needing to borrow it; you only pay on what you use.
Q: How does a HELOC actually work?
Kaila: Once you’re approved, you get access to a line of credit that you can draw from as needed — it’s flexible, kind of like a credit card in that sense. You’re approved for a limit and can use the funds as needed, rather than taking everything at once. During the first 10 years, which we call the draw period, you only make payments on what you use, not the full amount. Often, there is a low, fixed rate for any draw on your credit line during an introductory period. After that the rate becomes tied to prime.
Q: What happens after the draw period?
Kaila: After the draw period, you move into repayment. At that point, the remaining balance is paid off over time with principal and interest. But before that, you have a lot of flexibility in how and when you use the funds.
Q: What are most people using a HELOC for?
Kaila: Home improvements are the biggest use we see, like remodeling or building an ADU. We also see people use them for debt consolidation, education, or even as a financial safety net. Some members open a HELOC to have access to funds if they ever need them. There’s really no limit for what they can be used for.
Q: Who is a HELOC good for?
Kaila: A HELOC can be a good fit for homeowners who have built equity and want flexible access to funds. It can be especially helpful for larger expenses or ongoing needs, like home improvements, where you may not need all the money at once.
Q: How is a HELOC different from a personal loan?
Kaila: A personal loan usually gives you one lump sum with a shorter repayment term. A HELOC gives you access to a line of credit, so you can borrow what you need, when you need it. Since the repayment timeline is often longer, the monthly payment may be lower than some shorter-term loan options.
Q: What’s one thing people might not realize about HELOCs?
Kaila: A lot of people don’t realize you don’t have to use it right away, or at all. You can set it up and keep it as a backup. You’re only paying interest on what you actually use. A HELOC can be a really helpful tool, but because your home is used as collateral, it’s important to have a plan for how you’ll use it and pay it back.
Q: Any advice for someone considering a HELOC?
Kaila: Go in with a plan. It’s a really flexible tool, which is great, but you want to make sure it aligns with your goals. And if you’re unsure, talk it through with someone. That’s what we’re here for.
For many homeowners, especially in today’s rate environment, a HELOC can be a helpful way to access funds without changing their existing mortgage.
Whether you’re planning home improvements, consolidating debt, or preparing for future expenses, the key is understanding how a HELOC fits into your bigger financial picture.
The best place to start is with a conversation. A Bay Federal Home Loan Consultant can walk you through your options, answer your questions, and help you decide what makes sense for your goals.
About Bay Federal Credit Union
Bay Federal Credit Union is a full-service, not-for-profit financial institution that serves over 97,000 members, including 3,100 local businesses and nonprofit organizations throughout Santa Cruz, San Benito, and Monterey counties. With more than $1.8 billion in assets, Bay Federal is the largest member-owned financial institution in the region. The organization has been proudly serving its members and the community since 1957. Bay Federal is a certified Community Development Financial Institution, with a primary mission of promoting community development alongside their financial activities. Bay Federal has an award-winning employee volunteer program in which employees have given their own money and volunteer for numerous local schools, nonprofit organizations, and community events each year.
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Lookout in the Community: May events across Santa Cruz County
May is underway, election season is in full swing, and as springtime begins to close, Lookout’s calendar of events is focused on soaking up the sun and beauty of Santa Cruz County and its residents. Lookout is hosting election events, including another candidate forum to help keep the county informed politically. From art markets to golfing events, May is sure to be a month full of excitement and fun activities. Below are upcoming events hosted by Lookout and our partners.
We’re proud to partner with local organizations to highlight events that reflect the heart of Santa Cruz County. It’s all part of our mission to make local news a living, breathing part of community life.
And we couldn’t do it without our Marketing Partners, who help us spotlight key happenings across the county. Interested in joining our Media Sponsorship program? Contact Duffy Barrett at duffy@lookoutlocal.com.
See you out in the community this month!
Lookout’s Santa Cruz city election forum | May 7
Join Lookout Santa Cruz to hear from mayoral and Santa Cruz City Council candidates in the leadup to this year’s primary election. Moderated by Lookout Santa Cruz’s Community Voices opinion editor, Jody K. Biehl, candidates will be asked questions, answering on the spot. Community members will get the opportunity to raise issues they are curious and passionate about during an audience questions section of the debate. This event will take place at Hotel Paradox from 5:30 to 8 p.m. and is open to all community members for free.
A Night with Kat Moss from Scowl | May 1
Hwy17 Studios is hosting a one-night-only live interview and performance with Kat Moss, lead singer of Scowl, featuring local artists. The event will begin at 6 p.m. with a live on-stage conversation with an intermission that will be followed by a set by Kat, local musicians and a special guest with collaborative songs.
Peach Pit @ Quarry Amphitheater | May 2
Make sure to secure your tickets for Canadian indie pop band Peach Pit. The group will be playing at the Quarry Amphitheater beginning at 8 p.m.
Arts Council – Spring Art Market | May 9
Explore the Spring Art Market at the Tannery Arts Center from 10 a.m. to 5 p.m. This event is free and open to the public, with live music performances from La Otra Banda and Yellowcat. Enjoy the local fine art, textiles, ceramics and jewelry while connecting with artists from around the county.
Pajaro Valley Shelter Services – Mother’s Day Walk & Run | May 10
Celebrate Mother’s Day meaningfully this year by participating in the Pajaro Valley Shelter Services’ 42nd annual Mother’s Day Walk and Run. This event takes place on a scenic 10K/5K/1K trail to benefit families experiencing homelessness. Participants are invited to take the event at whatever pace fits them. Reservations can be made online up until 7 a.m. the day of the race. Help make this race a milestone of compassion, caring and community!
Aptos Chamber – Golf Scramble | May 14
Tee up alongside local golfers at Seascape Golf Club from 1 to 7 p.m. Whether you attend as a golfer, hole sponsor or event sponsor, this event is sure to be fun and a great networking opportunity.
Mountain Community Theater’s “Who’s Afraid of Virginia Woolf?” | May 15 – June 7
Mountain Community Theater is proud to present its opening of what is widely considered one of America’s best plays, “Who’s Afraid of Virginia Woolf? An original Broadway production that has won five Tonys and was nominated for 13 and won five Academy Awards, it explores the marriage of a couple George and Martha over the course of a night of fun and games involving a young couple with secrets of their own. This play is full of mystery, wit and dark comedy.
Pajaro Valley Chamber – Watsonville Wine, Beer & Art Walk | May 14
Downtown Watsonville will host the seventh annual Watsonville Wine, Beer and Art Walk from 1 to 5 p.m. Eventgoers will receive a sampling souvenir cup and passport including downtown locations to explore different tastings at each site. Explore local wines, craft beers and artwork by local artists while strolling through downtown. Because this event is so popular and sells out annually, make sure to secure your tickets as soon as possible.
BrunchBark – BirchBark Foundation fundraiser | May 17
Join the BirchBark Foundation at Chaminade Resort and Spa from 10:30 a.m. to 1:30 p.m. for an elegant brunch supporting the organization’s programs. The event will include a champagne welcome, silent auction, buffet brunch and a program that will highlight the work that BirchBark does in Santa Cruz County. Help to reduce financial barriers to veterinary care and support families and animals through difficult times.
Volunteer Center – Be The Difference Awards | May 20
Join civic and community leaders of Santa Cruz County at this year’s Be The Difference Awards gala. Hosted by the Volunteer Center, the event will take place at the Beach Boardwalk Grove from 11:30 a.m. to 1:30 p.m. Honor the 50 featured individuals, organizations and groups who strengthen the county through volunteerism.
Aptos Chamber – Luncheon w/ Susan True | May 21
The Aptos Chamber will hold a luncheon with Susan True from the Community Foundation of Santa Cruz County. Hosted at the Seacliff Inn, the event will take place from 11:30 a.m. to 1 p.m.
Santa Cruz Chamber – Business After Hours: West Coast Community Bank | May 21
The Santa Cruz Area Chamber of Commerce is happy to host a business after-hours networking event from 5 to 7 p.m. at West Coast Community Bank’s River Street branch. Bringing together local professionals interested in building lasting relationships, creating a more connected community and supporting the economy of the county. Register for the event to experience an evening full of refreshments, connection and fostering community prosperity.
Redwood Mountain Faire | May 30 – 31
Celebrating 15 years at Roaring Camp in Felton, the Redwood Mountain Faire is a weekend full of fun and excitement. The weekend affair will feature music all day on the Meadow and Creekside stages. With activities for all ages, the event includes bouncy houses, face painting, food, local arts and crafts, train rides and more.
Galicia Stack Lozano is a student at UC Santa Cruz and an intern at Lookout Santa Cruz through the Humanities EXCEL program led by the UC Santa Cruz Humanities Division with strategic support from The Humanities Institute
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Monday morning traffic: Westbound Highway 152 lane closed for paving
Here’s what’s happening on Santa Cruz County roads this morning…
▼︎ new incidents
Road incidents as of 7 a.m. on May 4- A lane on westbound Highway 152 at Clifford Drive/Ohlone Parkway in Watsonville is closed for asphalt paving. The closure is expected to last until July 3.
Disclosure: Traffic incidents are partially generated by artificial intelligence. We are constantly working to improve the accuracy and quality of our AI-generated content. However, there may still be errors or inaccuracies. If you have any questions or concerns, please contact us.
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West Coast to Phoenix: Pedaling to fight Parkinson’s
A Santa Cruz County cyclist is helping raise awareness about Parkinson’s disease in a unique – and strenuous – way: by joining other bikers in pedaling down the West Coast and across the desert to arrive at the seventh World Parkinson Congress, being held this year in Phoenix at the end of May.
David Kadotani, well known in South County as the longtime owner of Kadotani Auto Repair in Watsonville, will be joining the pack of riders in Half Moon Bay and continuing on to Phoenix. The riders maintain their own pace, averaging from 35 to 75 miles per day.
Kadotani, 69, was diagnosed with Parkinson’s in May 2020. He joined a Santa Cruz County Parkinson’s support group, and later became board treasurer.
“Of course, everything was on Zoom at that point” because of COVID awareness, Kadotani said in a phone interview. “It was a couple years before I met a lot of these members in person.”
In preparation for the journey, Kadotani said he trains twice a week with a local group.
“The outdoor rides, we’re out there for about four hours, twice a week,” Kadotani said. He prefers riding outside instead of using a home trainer: “On an indoor trainer, it’s hard. You’re constantly pedaling. You can’t coast.”
The bike event – Pedal to Phoenix – is put on by the World Parkinson Coalition. It aims to raise awareness of Parkinson’s, highlight the importance of exercise for people with the disease and promote the World Parkinson Congress.
The World Parkinson Congress is an international forum that brings together scientists, clinicians, healthcare professionals and people living with the disease.
Parkinson’s is a progressive neurodegenerative disorder that occurs when nerve cells in the brain die or become damaged. This damage reduces dopamine production, leading to movement problems and other issues. There is no cure, but extensive research has shown that exercise of any kind can forestall the symptoms.
Teams of cyclists – some with the disease and others as support – from around the world will be cycling from various locations across North America to Phoenix.
Regardless of where the teams start, they all will meet at the welcome party in Phoenix on May 22.
Kadotani’s group, Team West Coast, will be passing through Santa Cruz and Monterey counties on Tuesday, May 5. Supporters can gather to cheer them on and donate food and snacks from 11 a.m. to 1 p.m. at the Marina branch of the Monterey County Free Libraries, 190 Seaside Circle, Marina.
Have news that should be in Lookout Briefs? Send your news releases, including contact information, to news@lookoutlocal.com.
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The best things I ate and drank in Santa Cruz County in April
A month of eating across Santa Cruz County highlighted playful dishes, from a wild Tostilocos snack in Watsonville and indulgent French toast at a local coffeehouse, to sourdough with compound butter at Emerald Mallard, viral fruit-shaped desserts at Sugar Bakery and fresh spring rolls at Dharma’s Restaurant.
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Pajaro Valley Unified settles with family over unmet services for special education student
Pajaro Valley Unified School District reached a settlement with the family of a first grade special education student after acknowledging it failed to meet legal requirements outlined in the child’s education plan. The agreement includes compensatory services such as summer camp, behavioral support and speech therapy.
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Carmageddon: RTC considering list of transit and paratransit requests
The Santa Cruz County Regional Transportation Commission will consider a draft of this year’s list of unmet transit and paratransit needs at its meeting Thursday, an annual occurrence informed by members of the community.
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Cal State struck a deal with OpenAI. Some students and faculty refuse to use it
This story was originally published by CalMatters. Sign up for its newsletters.
When California State University paid OpenAI $17 million last year to give campuses unlimited access to a high-powered educational version of ChatGPT, the goal was to help students learn to use artificial intelligence for their education and future careers. However, the announcement came as a surprise to faculty and students, who were left on their own to figure out how to use AI ethically.
Afraid students would use ChatGPT Edu to cheat, many professors turned to in-class tests using bluebooks and scantrons, or employed faulty AI detectors like TurnItIn to catch AI-generated work. Meanwhile, other faculty have embraced ChatGPT and made it part of their curriculum. This all has left students confused over the use of AI in their courses.
A recent Cal State survey of over 94,000 students and university employees found 52% of faculty reported AI having a negative affect on their teaching, and 67% of students felt their professors don’t teach them how to use AI effectively.
As Cal State approaches the end of its 18-month contract with OpenAI this July, the university system has not announced whether it will renew the deal. Some faculty at San Francisco State University have begun a petition calling on Cal State Chancellor Mildred Garcia to end the partnership.
The Cal State Chancellor’s office points out that the AI survey found 64% of students, faculty and staff said AI has affected their learning experience at their university positively, and 63% said they’ve seen more opportunities on their campus to learn about AI.
“Our systemwide AI survey results reflect what we are seeing across our universities — widespread engagement with AI tools and technologies,” wrote Cal State spokesperson Amy Bentley-Smith in an email.
The university system left it up to campuses to dictate the proper uses of the chatbot while offering tools and training on a website called AI Commons. But students and faculty say those resources have not been enough. As of April, only 0.7% of students and 16% of faculty had completed the voluntary training, based on data provided by Bentley-Smith.
Assemblymember Mike Fong introduced Assembly Bill 2392 in February, which would require Cal State and California Community Colleges, as well as request University of California schools, to provide training on any AI product deployed on campuses.
Last fall, Fong and the Assembly Standing Committee on Higher Education questioned Cal State officials about planning around the AI initiative.
“During the joint hearing on higher education and privacy, discussions revealed that California State University campuses have adopted AI tools without consistent guidance or training, raising concerns around data privacy, academic integrity, and equitable use,” said Fong in an email to CalMatters.
While a few students and faculty testified at the hearing, others have continued to echo those issues.
“I’m not sure [Cal State] realized how much new work it would require, how much revision to the old way of doing things it would require,” said Ryan Jenkins, the chair of the AI Task Force for Cal Poly San Luis Obispo’s faculty union chapter.
Students want to be a part of AI decisionsCal State Northridge communications major Katie Karroum was shocked when she saw the announcement about ChatGPT Edu last year. As the vice president of systemwide affairs for the Cal State Student Association, she would have expected the chancellor’s office to meet with the student organization that represents over 470,000 students throughout the state.
“We were not consulted when the contract was signed, and we weren’t even given a heads up,” Karroum said.
Cal State chose OpenAI as the least-costly option, according to assistant vice chancellor of academic technology services Leslie Kennedy. The contract aimed to give everyone free access to ChatGPT Edu across all 22 campuses. Previously, campuses and individuals were paying for their own upgraded ChatGPT accounts that allow users to generate content like images and research reports without the limitations of the free version.
The contract with OpenAI was signed in January 2025, revealed later that month at a board of trustees meeting, and formally announced through a systemwide media release in February 2025, which is how Karroum found out.
Katie Karroum, communications major and vice president of systemwide affairs for the Cal State Student Association, at Cal State Northridge. Credit: Ariana Drehsler for CalMattersIn a meeting of the Cal State Student Association last October, student representatives from each campus told Karroum that they saw a lack of justice for students accused of using generative AI to cheat, and that they were concerned about the data collected from the chatbot being shared.
ChatGPT Edu at Cal State is defaulted to not use data for training models, but users can opt to allow their data to be shared, according to testing by CalMatters.
Students have also complained about the absence of a consistent AI policy in their classes, according to an open letter published by Karroum. At most campuses, professors get to decide their classroom policies, including about AI.
Yagmur Wernimont, a sophomore at Cal Poly San Luis Obispo, said that although AI is used for automation and robotics in her intended agriculture field, she still does not use the technology herself because she thinks “it’s making us dumber” and doesn’t promote learning. She also watched herself fall behind while a classmate used ChatGPT to get a 100% on an assignment.
While her professor verbally told the class at the beginning of the quarter not to use AI, the rule was not on the syllabus, nor was a clear consequence for using AI. Wernimont said this might have given students a loophole for using it.
At Cal State Bakersfield, Emily Callahan, dean of students for academic integrity, said there has been a steady uptick of students reported for improper use of AI. She said students are using the chatbot to gain an unfair advantage over others.
Wernimont has also witnessed a divide between professors over AI. While one of her professors required the use of Google NotebookLM, an AI-powered note-taking app, an English teacher told Wernimont’s class that she was sad students would be using AI for writing, but shared a presentation on ways to cite the tool anyway.
“They’re all having different ways and ideas how to do it,” she said. “And it’s kind of conflicting as a student.”
Ryan Jenkins, a philosophy professor, sits in his office on the Cal Poly San Luis Obispo campus. Credit: Julie Leopo-Bermudez for CalMattersKennedy said the university system hasn’t excluded anybody from the discussion around AI. The Chancellor’s Office started a generative AI committee in 2024 that includes students and faculty.
“It was the committee’s recommendations that served as the basis for the CSU to identify, evaluate, and negotiate with multiple companies who at the time offered plans designed specifically to help bring AI tools to higher education institutions,” said Cal State’s chief information officer Ed Clark in an email. “Their assessment and feedback have been and continue to be essential to how the CSU implements its AI strategy that is both cost-effective and secure.”
A new board formed after the implementation of ChatGPT Edu focuses on California’s workforce by including representatives from technology companies. Cal State Student Association President Tara Al-Rehani said that while she is part of that board, it makes no final policy or guidance decisions on AI use.
Karroum said although students need to learn how to use AI, she doesn’t like feeling part of an experiment.
“I think that we’re being treated as, like, test rats right now because there’s no policy and there’s no guidance,” Karroum said.
Faculty introduce new classroom policies on AIFaculty leaders said they also were caught off guard with the ChatGPT deal. According to the Cal State survey, 59% of faculty regularly use AI in teaching and research, and 68% said they include an explicit statement on AI use.
According to a repository of more than 200 AI syllabus policies housed on Cal Poly San Luis Obispo’s website, one criminal justice professor from Cal State Fullerton describes in the syllabus when, why and how students should use AI. The professor also includes an example of a good AI disclosure statement from a student who outlined their use of ChatGPT for an assignment.
The AI Commons website states that faculty ultimately decide how they want to implement generative AI into their curriculum,taking into consideration whether it might improve teaching and learning in their classroom like any new technology.
Jenkins, who teaches philosophy at Cal Poly San Luis Obispo, gives exams in class using blue books and scantrons to avoid any potential for students to cheat with AI. When ChatGPT was first released in 2022, Jenkins tested the chatbot by giving it a reading quiz. It gave all the right answers, alarming Jenkins that his students might use the technology while taking tests online. Today, Jenkins tells his students to treat AI like any other source when using its outputs for an assignment, but still proctors exams in-class.
“The bread and butter of philosophy is reflecting on your own ideas and trying to sort out what you believe and why,” Jenkins said. “If you have a tool that does that for you, then you’re being denied an opportunity to practice that skill.”
Ryan Jenkins, a philosophy professor, on the Cal Poly San Luis Obispo campus. Credit: Julie Leopo-Bermudez for CalMattersJenkins said he does not have an AI statement in his syllabus because neither the department nor Cal Poly has provided one to use. On its website, Cal Poly San Luis Obispo links to the AI Commons as well as an AI statement builder from Pepperdine University for faculty to use. But the university does not require any specific statement from professors.
At Cal State Fullerton, Shelli Wynants helps faculty decide how to use AI in their classrooms through her role in the university’s faculty development center. She also teaches students in her child and adolescent studies courses to critically review AI output, and make sure they are remaining “the thinker and the decision maker” in the process.
Wynant said she refers to AI as an “assistant” or “teammate,” but emphasizes it should never replace human judgement. She has found that many of her students who plan careers in teaching want to learn how to use AI responsibly for the sake of their future students. “These students need to get up to speed because they’re going to be the ones teaching students digital literacy,” she said.
In August 2025, the Assembly Standing Committee on Higher Education questioned Cal State officials about planning around the AI initiative. Representatives of the Academic Senate, Cal State Student Association, California Faculty Association and Cal State Employees Union spoke to the Assembly committee about their discontent over the contract with OpenAI.
“We understand all these criticisms and concerns, and they’re valid,” said Cal State’s chief information officer Ed Clark at the meeting. “The best way to deal with those concerns is to have our universities participate in helping to shape the future of these technologies. We can’t just sit back and let it go by.”
Students still need support, even with AI chatbotsStaff at university tutoring centers are struggling to advise students who say faculty are blaming them for cheating by using the very AI tools the university system wants them to learn to use. According to the Cal State AI survey, 78% of students, faculty and staff said the ethical use of AI is a major concern.
Students walk through the Cal State Northridge campus. Credit: Ariana Drehsler for CalMattersSeher Vora, the coordinator for San Jose State University’s writing center, created an AI Writer Toolbox after conversations with tutors about students who were being penalized by professors for using AI. The toolbox helps students work with AI responsibly, including how to properly cite AI use and not using the chatbot for generating work that is not their own.
The toolbox also includes a disclosure tool that allows students to fill out a form outlining their use of AI for an assignment. The form generates a certificate for students to submit with their work.
The writing center at San Jose State advises students to check with their professors if they are unsure what uses of AI they accept. Vora hopes her work with the toolbox will encourage education around AI, for both students and faculty.
“We have to stay on top of it,” she said. “It’s changing every day.”
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Will California ever build the Delta tunnel? Major battles ahead as Newsom era nears end
This story was originally published by CalMatters. Sign up for its newsletters.
In what Gov. Gavin Newsom hailed as a major milestone, his $20 billion Delta tunnel largely cleared another chokepoint last week — but it still faces obstacles of a different magnitude.
For more than half a century, California’s leaders have debated rerouting water around, rather than through, the network of rivers, farmland and marshes of the Sacramento-San Joaquin Delta. Newsom’s version would pipe Sacramento River water through a 45-mile bypass to a reservoir on the California Aqueduct, in an effort to shore up state supplies and send more water south.
Delta communities call the plan a water grab that would devastate one of the country’s largest estuaries and destroy towns, wildlife and generational farms. State officials and major water suppliers say it’s necessary to safeguard water for two-thirds of Californians against the threats of climate change and natural disasters.
Tasked with refereeing the fight, a state agency called the Delta Stewardship Council weighed opponents’ many challenges to the project and on April 23 voted voted 6-1 to require the Department of Water Resources to address just two of them.
Newsom declared victory, saying, “We are closer than ever to seeing this important piece of infrastructure completed.”
Maybe closer than ever, California water watchers say, but still far from complete. Far bigger obstacles loom: court rulings that have upended California’s financing plans, critical water rights decisions still to come from state regulators, and water agencies that have yet to decide whether the tunnel’s water will be worth the cost.
“These are all existential,” said Jeffrey Mount, a senior fellow at the Public Policy Institute of California. “You’ve got some pretty tough hurdles ahead.”
A dying DeltaThe Sacramento-San Joaquin River Delta is the heart of California’s nature-defying water systems, where state and federal pumps send Northern California river water coursing to cities and farms in the lower half of the state.
The Delta is collapsing under the strain — wracked by algal blooms, degraded water quality and fish species spiraling toward extinction. Residents, environmentalists and the fishing industry fear that diverting freshwater through a tunnel will push it over the edge.
Voters beat back the first-generation tunnel — a peripheral canal — in the 1980s, during Gov. Jerry Brown’s first stint as governor. But governor after governor has continued the push. The canal eventually became the twin tunnels that became Newsom’s Delta Conveyance Project, which remains mired in planning.
Carrie Buckman, environmental program manager for the tunnel project at the Department of Water Resources, is optimistic that construction could start as soon as 2029 and would last around 13 years.
But with Newsom in his final year as governor, the clock is ticking. And the region’s residents continue in limbo — bracing for a project that would carve through their communities, farms and waterways.
“Nobody seems to care about the people out here on the ground,” said Duane Martin Jr., a third-generation cattleman in the Delta.
Duane Martin stands near the Sacramento County pasture, southwest of Elk Grove, where he has grazed cattle for 20 years, and where California water managers plan to build a major construction complex for the Delta tunnel.Credit: Miguel Gutierrez Jr. / CalMatters
Martin steered his pickup down country roads, along the orchards and pastures of Sacramento County. Great egrets strutted the edges of fields to snatch small, struggling creatures from the grass, and red-winged blackbirds clung to golden stalks of mustard.
Martin worries for his cattle operation. His father was a cattleman. His grandfather was a cattleman. Now a father himself, his daughters’ cattle graze in the pasture outside his home.
He’s outraged by the prospect of the truck traffic, the noise, the churn of the concrete batch plant and the roughly 200-acre pile of tunnel muck planned for land where he’s been grazing cattle for decades.
But more than that, he said, gruff beneath his Stetson, “It’s the community that they’re going to impact — those of us that have lived here most of our lives.”
“They’re going to change the Delta area forever.”
An unending water warThe Delta’s vulnerability is real: Levees are at risk of crumbling under age, earthquakes and climate-fueled storms; sea level rise threatens to flood the system with too much saltwater.
For Buckman, it’s simple: As climate change makes California’s swings from wet to dry more extreme, “It’s about water supply.”
Mount, like the water suppliers supporting the project, believes construction is inevitable. “If you don’t build it in this generation, you’ll build it in the next,” he said. “Build a tunnel, or start a very painful process of really cutting back on water supplies from the Delta.”
The costs are high; around $20.1 billion by the Department of Water Resources’ estimate, $60 to more than $100 billion per an economic assessment commissioned by opponents.
California doesn’t yet have a way to pay for it. State water managers planned to issue revenue bonds, to be paid back by water agencies receiving water from the tunnel — and their customers.
But a trial court said that the water code did not give the Water Resources “carte blanche to do as it wishes” and the financing plan “exceeded its delegated authority.” The Third District Court of Appeal agreed, and in April, the California Supreme Court refused to review the case.
Buckman said that the department still plans to issue bonds and is figuring out its next steps.
As yet, no water agency has committed to paying for a tunnel — and no agency likely will, until the department can finance it, according to Kelley Taber, an attorney representing tunnel opponents.
The federal government and the powerful irrigation districts it supplies have already opted out, Buckman said.
The Delta community of Isleton, visible from the banks of the Sacramento River. Credit: Miguel Gutierrez Jr. / CalMatters“Ag, at large, cannot afford to pay for large infrastructure projects,” said Jennifer Pierre, general manager for the State Water Contractors, an association of public water agencies that receive water from California’s massive delivery system, the State Water Project. But she said the costs don’t diminish the need.
That leaves the bulk of the bill with urban water suppliers and their customers.
Metropolitan Water District, the Southern California water import giant that supplies half the state’s population, is already paying nearly half the tunnel’s planning costs — but it’s also heavily investing in local recycled water supplies.
Its board isn’t expected to vote on whether to shoulder much of the tunnel’s construction costs until 2027. No construction commitment before then means no commitment before a new governor takes office.
Meanwhile, major water rights questions remain unresolved.
State regulators are holding hearings that could last through the summer about whether to allow the Department of Water Resources to divert Sacramento River water into the proposed tunnel intakes.
Newsom has advocated for a Delta tunnel since his first days as governor. Four Newsom appointees sit on the seven-member Delta Stewardship Council that just advanced the tunnel project, minus a couple speedbumps. He has also championed unsuccessful legislative fixes to financing and other roadblocks.
The question is whether the next governor will continue the push. Pierre said they must — the need for the tunnel is clear.
Mount isn’t as sure. It will depend on the next governor’s priorities — and who they put in key leadership positions.
“Whoever they appoint, that is really where it happens,” he said. “It’s hard for me to imagine that if Brown and/or Newsom weren’t all in on this, it would have gotten this far.”
‘They’re gonna have to take it’Martin pulls his pickup to the side of the road next to a lush pasture he leases that’s more prairie than Pacific. This is one of the next battlegrounds for the tunnel project.
In the spring and summer, Martin grazes hundreds of cows and their calves here. And in the winter, the Sacramento Area Sewer District plans to pipe recycled water onto the fields, creating seasonal feeding grounds and rest stops for the protected sandhill crane and other birds traveling the Pacific Flyway.
It’s part of the largest agricultural recycled water project in the state, Harvest Water, to provide highly treated wastewater to 16,000 acres of farmland in the region and take the pressure off local groundwater supplies.
California has already awarded more than $400 million for Harvest Water, but the funding hinges on the environmental benefits like habitat the project will provide, according to the sewer district’s Jofil Borja. It’s an ideal spot, between the Stone Lakes National Wildlife Refuge and the Cosumnes River Preserve.
And that’s where it runs up against the tunnel project. The pastures where Martin grazes his cattle and the sewer district plans to create seasonal habitat are also in the Department of Water Resources’ sights. State water managers plan to build a nearly 600-acre construction complex — with a permanent 214-acre mound of excavated tunnel materials up to 15 feet tall — right here.
“You tell me if you want to be the neighbor that lives right there, lookin’ out his front yard at this pile of muck,” Martin said, gesturing at a house across the road. Right now, its view is a sea of grass that disappears into a darker line of trees.
Duane Martin, a third-generation cattleman, bought his first cows when he was 10 with money he borrowed from his grandfather. Now, his daughters’ cattle graze in the pasture outside his Delta home. Credit: Miguel Gutierrez Jr. / CalMattersIn refereeing the fight over this land, the Delta Stewardship Council last week ordered the Department of Water Resources to resolve its conflicts with Harvest Water over the site, or explain why that isn’t possible, the council’s staff report said.
Kelley Taber, the attorney representing the sewer district, is celebrating the mixed victory.
“I always thought that this was going to be [the department’s] Achilles’ heel,” Taber said. Among the “multitude of disastrous impacts to the Delta,” she said, it’s “the most obvious fatal flaw.”
Buckman disputed staff’s assessment of the siting conflict in a letter to the council, saying that the tunnel project can’t avoid the entire Harvest Water footprint, and that the habitats don’t exist yet. But, she added, the department would “work promptly” to address the issue.
If it does, to the council’s satisfaction, state water managers will still need to buy or seize the land. The landowner declined to speak on the record.
Martin expects it will be a fight — and he’s ready for it. Under eminent domain, the state can forcibly take property for a public purpose. The landowner can contest it. But he’s unlikely to stop it.
“They’re gonna have to take it,” Martin said. “I’ve got a lot of friends that leave, but I ain’t about to quit. I’m a fighter, and I’m going to stay here and fight for it to the death.”
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