LAFCO
Paso Robles
Read the report at Local Agency Formation Commissions ↗
1/22/26
Exhibit B | Resolution No. 2026 - 02
Page 1 of 5
Municipal Service Review Determinations for the City of Paso Robles
(Government Code Section 56430)
1. Growth and population projections for the affected area.
The City’s estimated population is 31,490 based on 2020 US Census data. The projected
General Plan buildout population is estimated to be 44,000. The 2050 Regional Growth
Forecast for San Luis Obispo County (medium scenario) population projections do not
suggest that Paso Robles will reach the population growth cap of 44,000, as the
population of the community is estimated to be 37,858 by the year 2050. The City’s
population is projected to grow by 27 percent between 2010 and 2050, with an average
annual increase of approximately 3 percent.
In 2025, the City had an estimated 12,949 households, reflecting an increase of
approximately 13 percent since 2010. The total number of households is projected to
grow by 25 percent between 2010 and the buildout year of 2050. According to the 2050
Regional Growth Forecast for San Luis Obispo County (medium scenario), the City is not
expected to reach its housing unit cap of 16,924. Instead, the projected number of
housing units by 2050 is 14,342, remaining well below the established limit.
2. The location and characteristics of any disadvantaged unincorporated communities
within or contiguous to the sphere of influence.
There are no DUCs within the City’s service area, existing or proposed SOI that meet the
definition of a DUC as outlined in Government Code Section 56033.5. However, two
DUCs are located adjacent to the City’s service area and a portion of the existing SOI.
These areas—Paso Robles/Templeton DUC Area 1 and Paso Robles DUC Area 2—are all
inhabited and have a Median Household Income (MHI) that is less than 80 percent of the
statewide MHI, qualifying them each as DUCs. If the City considers future SOI
amendments or annexations, it is recommended that these DUCs be evaluated further,
in alignment with objectives to ensure equitable access to public services and
infrastructure.
Exhibit B | Resolution No. 2026 - 02
Page 2 of 5
Table 1: City Disadvantaged Unincorporated Communities Census Block Information
Median
Census Block Registered
DUC Household
Group Voters1
Income
Paso Robles/Templeton DUC Area
127.07.1 $54,797 955
#1
Paso Robles DUC Area #2 102.02.2 $61,513 59
3. Present and planned capacity of public facilities and adequacy of public services,
including infrastructure needs or deficiencies.
The City is a full-service city and provides Administration, Airport, Animal Control,
Electric Utility, Fire and Emergency Services, Law Enforcement, Community
Development, Community Services (such as Library, Parks and Recreation), Public Works,
Solid Waste, Stormwater, Wastewater, and Water municipal services within its
jurisdictional boundary as addressed in this MSR. Existing and planned facilities are
generally adequate to meet current community needs and future demands. To address
existing and future demands, the City Council adopts annual goals that guide resource
allocation through the budget and capital improvement program, which in turn aligns
with departmental work plans, capital project priorities, and ensures ongoing high levels
of service to the community.
4. Financial ability of agencies to provide services.
The City Council adopts an annual budget on a basis consistent with generally accepted
accounting principles. The City is primarily funded through charges for services, property
taxes, sales & use taxes, grants and contributions, and other taxes such as transient
occupancy taxes and Community Facilities Districts. To assess the City’s financial health,
key indicators, including Operating Ratio, Liquidity Ratio, and Net Position, were
analyzed. Operating Ratio, which compares annual operating revenues to operating
1 SLO County Clerk Recorder Registered Voter GIS Data, October 2023
Exhibit B | Resolution No. 2026 - 02
Page 3 of 5
expenses, showed a consistently positive trend over the past five audited years,
indicating that revenues have exceeded expenditures on an annual basis. Liquidity Ratio,
which measures current assets relative to current obligations, also remained strong
across all five years, reflecting adequate short-term financial health. The City’s Net
Position, representing the difference between total assets and total liabilities, increased
by 26 percent over the five-year audited period, a strong indicator of long-term financial
growth and stability. Overall, these financial indicators suggest that the City is in a
financially healthy state with adequate financial resources to deliver its services.
5. Status of and opportunities for shared facilities.
There are opportunities for new and continued collaborative efforts with neighboring
agencies to improve efficiencies. Opportunities may include, but are not limited to,
coordination with SLO County regarding future expansion areas, City, County/CAL Fire,
and other neighboring agencies that provide fire protection services, agriculture and
open space preservation efforts, private water and wastewater consolidation
opportunities, and ongoing engagement with Joint Power Authorities in which the City
participates.
6. Accountability for community service needs, including governmental structure and
operational efficiencies.
The City is governed by a five-member City Council that is elected to four-year terms.
Regularly scheduled monthly Council meetings are held, and all meetings are open to the
public and are publicly posted a minimum of 72 hours prior to the meeting in accordance
with the Brown Act. The City maintains an up-to-date website that contains City
information, documents, and updates. The City has demonstrated accountability and
transparency in its disclosure of information and cooperation during the process of this
MSR. The City responded to questionnaires and cooperated with document requests.
7. Any other matter related to effective or efficient service delivery.
LAFCO recommends that the City consider analyzing possible annexation of the areas
within their sphere boundary as part of any future strategic plan and/or general plan
update.
Exhibit B | Resolution No. 2026 - 02
Page 4 of 5
Sphere of Influence Determinations for the City of Paso Robles
(Government Code Section 56425)
1. Present and planned land uses in the area, including agricultural and open-space lands.
Land uses within the City’s existing SOI are determined by the County’s General Plan, and
range from a wide variety of uses, from Residential Rural, Residential Suburban, Public
Facilities, Commercial Service, Industrial, and Agriculture. The SOI is proposed to be
reduced to four areas as discussed in the “SOI Study” section of the report and as shown
in Exhibit C of the resolution. Planned land uses within the proposed SOI are not
anticipated to deviate from the existing County designations, as the City has expressed
interest in existing development and/or land use designation of Residential Rural,
Commercial Recreation, Industrial, and Agriculture.
2. Present and probable need for public facilities and services in the area.
The City is a full-service city and provides Administration, Airport, Animal Control, Electric
Utility, Fire and Emergency Services, Law Enforcement, Community Development,
Community Services (such as Library, Parks and Recreation), Public Works, Solid Waste,
Stormwater, Wastewater, and Water municipal services within its jurisdictional boundary
as addressed in this MSR. The areas within the proposed SOI updates reflect the
appropriate current and near-term jurisdictional boundaries as well as service areas of
the affected agencies as determined by the Commission. Accordingly, the City’s SOI
should be updated to reflect the changes described in the “SOI Study” section of the
report and as shown in Exhibit C of the resolution.
3. Present capacity of public facilities and adequacy of public services that the agency
provides or is authorized to provide.
The City has the capability and capacity to adequately meet existing service demand and
some level of increased future service demand. A comprehensive evaluation of public
services and adequacy therein for the City has been prepared by the Commission as part
of this MSR. In order to continue serving current needs and plan for anticipated future
growth, the City is encouraged to continue with planned upgrades to its facilities as
Exhibit B | Resolution No. 2026 - 02
Page 5 of 5
identified in its capital improvement program. Accordingly, the City’s SOI should be
updated to reflect the changes described in the “SOI Study” section and as seen in Figure
26 of the report or as shown in Exhibit C of the resolution.
4. Existence of any social or economic communities of interest in the area if the
commission determines that they are relevant to the agency.
There are no social or economic communities of interest within the City service area
boundary.
5. For an update of the sphere of influence of a city or special district that provides public
facilities or services related to sewers, municipal and industrial water, or structural fire
protection, the present and probable need for those public facilities and services of any
disadvantaged unincorporated communities within the existing sphere.
There are no DUCs within the City’s service area, existing or proposed SOI that meet the
definition of a DUC as outlined in Government Code Section 56033.5. However, two DUCs
are located adjacent to the City’s service area and a portion of the existing SOI. Paso
Robles/Templeton DUC Area 1 and Paso Robles DUC Area 2. The DUCs contain some areas
that are uninhabited. There are known deficiencies within a portion of the Paso
Robles/Templeton DUC Area 1, consisting of the Rancho Paso MHP, which was studied
further in the MSR and SOI Study. While preliminary discussions have taken place among
affected parties (RWQCB, SWRCB, City, TCSD, LAFCO, and Rancho Paso MHP), no viable
solutions have yet been identified. Ongoing efforts are underway to explore the potential
consolidation of Rancho Paso MHP, Walnut Hills MWC, and Los Robles MHP with
neighboring public agencies for water and/or wastewater services. Should the City seek
to evaluate any of the City’s surrounding areas for an SOI amendment or annexation in
the future, disadvantaged communities should be considered further, in alignment with
objectives to ensure equitable access to public services and infrastructure.
City of El Paso de Robles
Municipal Service Review
and Sphere of Influence Study
Prepared by
The San Luis Obispo Local Agency Formation Commission
Adopted January 15, 2026
Resolution No. 2026-02
City of Paso Robles
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TABLE OF CONTENTS
About LAFCO ____________________________________________________ 5
Authority and Objectives _____________________________________________________ 5
Regulatory Responsibilities ___________________________________________________ 5
Planning Responsibilities _____________________________________________________ 6
LAFCO Decision-Making _____________________________________________________ 7
SLO LAFCO _______________________________________________________________ 8
Acknowledgments _________________________________________________________ 9
City MSR & SOI Study _____________________________________________ 10
Overview _____________________________________________________________ 10
At A Glance ____________________________________________________________ 11
Boundary Map _________________________________________________________ 12
Accountability __________________________________________________________ 13
Population Profile _______________________________________________________ 15
Present and Planned Land Use ______________________________________________ 21
Services & Operations ____________________________________________________ 27
Finance ______________________________________________________________ 57
Sphere of Influence ______________________________________________________ 65
Memorandum of Agreement _______________________________________________ 95
Determinations _________________________________________________ 96
Service Review Determinations per Government Code Section 56430 ___________________ 96
Sphere of Influence Determinations per Government Code Section 56425 ________________ 99
California Environmental Quality Act __________________________________________ 100
Appendix _____________________________________________________ 102
Document Sources _______________________________________________________ 102
Exhibits _______________________________________________________________ 103
City of Paso Robles
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List of Figures
Figure 1: City of Paso Robles Boundary Map ............................................................................... 12
Figure 2: Paso Robles/Templeton DUC Area #1 Boundary Map ..................................................... 19
Figure 3: Paso Robles DUC Area #2 Boundary Map ...................................................................... 20
Figure 4: City of Paso Robles Existing SOI and Planning Impact Areas ............................................ 24
Figure 5: City of Paso Robles Land Use Designations .................................................................... 26
Figure 6: 2024 Officers/Sworn Personnel per 1,000 Population .................................................... 33
Figure 7: Firefighters per 1,000 Population ................................................................................. 36
Figure 8: City of Paso Robles Neighboring Water Providers .......................................................... 51
Figure 9: Actual Revenues vs. Actual Expenditures (FY 2019-20 to FY 2023-24) .............................. 59
Figure 10: Operating Ratio (FY 2019-20 to FY 2023-24) ................................................................ 60
Figure 11 Liquidity Ratio (FY 2018-19 to FY 2022-23) ................................................................... 64
Figure 12: City of Paso Robles Recommended SOI Study Areas ..................................................... 66
Figure 13: City of Paso Robles Study Area 1 ................................................................................ 69
Figure 14: City of Paso Robles Study Area 2 ................................................................................ 71
Figure 15: City of Paso Robles Study Area 3 ................................................................................ 73
Figure 16: City of Paso Robles Study Area 4 ................................................................................ 74
Figure 17: City of Paso Robles Study Area 5 ................................................................................ 77
Figure 18: City of Paso Robles Study Area 6 ................................................................................ 79
Figure 19: City of Paso Robles Study Area 7 ................................................................................ 80
Figure 20: City of Paso Robles Study Area 8 ................................................................................ 82
Figure 21: City of Paso Robles Study Area 9 ................................................................................ 84
Figure 22: City of Paso Robles Study Area 10 ............................................................................... 85
Figure 23: City of Paso Robles Study Area 11 ............................................................................... 87
Figure 24: City of Paso Robles Study Area 12 ............................................................................... 88
Figure 25: City of Paso Robles Study Area 13 ............................................................................... 91
Figure 26: City of Paso Robles Recommended SOI Map ................................................................ 94
City of Paso Robles
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List of Tables
Table 1: City Profile .................................................................................................................. 11
Table 2: City of Paso Robles Council Members ............................................................................ 13
Table 3: City of Paso Robles Awards and Recognition ................................................................... 15
Table 4: Population and Housing Unit Projections ....................................................................... 16
Table 5: City Disadvantaged Unincorporated Communities Census Block Information ..................... 17
Table 6: City General Plan Land Use Distribution ......................................................................... 22
Table 7: City of Paso Robles Service Delivery ............................................................................... 28
Table 8: City of Paso Robles Current and Projected Recycled Water Use ........................................ 42
Table 9: City of Paso Robles Water Supply Summary .................................................................... 46
Table 10: City of Paso Robles Current and Projected Water Use .................................................... 47
Table 11: City of Paso Robles Water Supply Sources to Meet Demands ......................................... 48
Table 12: City of Paso Robles Neighboring Water Providers .......................................................... 50
Table 13: City of Paso Robles Existing Flow Estimates .................................................................. 54
Table 14: City of Paso Robles Projected Flow Estimates ............................................................... 54
Table 15: City of Paso Robles Joint Power Authority .................................................................... 57
Table 15: Audited Assets and Deferred Outflow .......................................................................... 62
Table 17: Audited Liabilities and Deferred Inflow ........................................................................ 63
Table 17: Audited Net Position .................................................................................................. 65
Table 19: Recommended SOI Changes........................................................................................ 68
Table 20: City Disadvantaged Unincorporated Communities Census Block Information ................... 97
City of Paso Robles
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ABOUT LAFCO
Authority and Objectives
Local Agency Formation Commissions (LAFCOs) were established in 1963 and are considered regional
subdivisions of the State of California responsible for providing regional growth management services
in all 58 counties. LAFCOs’ authority is currently codified under the Cortese-Knox-Hertzberg Local
Government Reorganization Act of 2000 (CKH), with principal oversight provided by the Assembly
Committee on Local Government. LAFCOs are comprised of locally elected and appointed officials with
regulatory and planning powers delegated by the Legislature to coordinate and oversee the
establishment, expansion, and organization of cities, towns, and special districts, as well as their
municipal service areas.
Regulatory Responsibilities
LAFCOs’ principal regulatory responsibility involves approving or disapproving all jurisdictional changes
involving the establishment, expansion, and reorganization of cities, towns, and most special districts1
in California. LAFCOs are also tasked with overseeing the approval process for cities, towns, and special
districts to provide new or extended services beyond their jurisdictional boundaries by contracts or
agreements, or annexation. LAFCOs also oversee special district actions to either activate new service
functions and service classes or divest existing services. LAFCOs generally exercise their regulatory
authority in response to applications submitted by affected agencies, landowners, or registered voters.
Recent amendments to CKH also authorize and encourage LAFCOs to initiate jurisdictional changes to
form, consolidate, and dissolve special districts consistent with community needs.
1 CKH defines “special district” to mean any agency of the State formed pursuant to general law or special act for the local
performance of governmental or proprietary functions within limited boundaries. All special districts in California are
subject to LAFCO oversight with the following exceptions: school districts; community college districts; assessment districts;
improvement districts; community facilities districts; and air pollution control districts.
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Planning Responsibilities
LAFCOs inform their regulatory actions, in part, through two central planning responsibilities: (a)
making sphere of influence determinations and (b) preparing municipal service reviews. With this and
other relevant information in the record, LAFCO makes decisions on a variety of matters, including but
not limited to annexations to cities and special districts, city incorporations, activation of powers for
special districts, dissolutions of special districts, reorganizations, etc.
Sphere of Influence (SOI)
A SOI is defined by G.C. 56425 as “…a plan for the probable physical boundary and service area of a
local agency or municipality…”. A SOI is generally considered a 20-year, long-range planning tool.
LAFCOs establish, amend, and update spheres for all applicable jurisdictions in California every five
years, or as necessary. When updating the SOI, LAFCOs are required to consider and prepare a written
statement of their determinations with respect to each of the following 5 factors:
1) The present and planned land uses in the area, including agricultural and open-space lands.
2) The present and probable need for public facilities and services in the area.
3) The present capacity of public facilities and adequacy of public services that the agency provides
or is authorized to provide.
4) The existence of any social or economic communities of interest in the area if the commission
determines that they are relevant to the agency.
5) For an update of a sphere of influence of a city or special district that provides public facilities
or services related to sewers, municipal and industrial water, or structural fire protection, that
occurs pursuant to subdivision (g) on or after July 1, 2012, the present and probable need for
those public facilities and services of any disadvantaged unincorporated communities within
the existing sphere of influence.
SOI determinations have been a core planning function of LAFCOs since 1971. The intent in preparing
the written statements is to orient LAFCOs in addressing the core principles underlying the sensible
development of local agencies consistent with the anticipated needs of the affected communities.
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Municipal Service Reviews (MSR)
MSRs, in contrast, are intended to inform, among other activities, SOI determinations. LAFCOs also
prepare MSRs regardless of making any specific sphere determinations in order to obtain and furnish
information to contribute to the overall orderly development of local communities. When updating an
MSR, LAFCOs are required to consider and prepare written statements of their determinations with
respect to each of the following 7 factors:
1) Growth and population projections for the affected area.
2) The location and characteristics of any disadvantaged unincorporated communities within or
contiguous to the sphere of influence.
3) Present and planned capacity of public facilities, adequacy of public services, and infrastructure
needs or deficiencies, including needs or deficiencies related to sewers, municipal and industrial
water, and structural fire protection in any disadvantaged, unincorporated communities within
or contiguous to the sphere of influence.
4) Financial ability of agencies to provide services.
5) Status of, and opportunities for, shared facilities.
6) Accountability for community service needs, including governmental structure and operational
efficiencies.
7) Any other matter related to effective or efficient service delivery, as required by commission
policy.
LAFCO Decision-Making
LAFCO decisions are legislative in nature and, therefore, are not subject to an outside appeal process;
only courts can overturn LAFCO decisions. LAFCOs also have broad powers with respect to conditioning
regulatory and planning approvals, so long as not establishing any terms that directly affect land use
density or intensity, property development, or subdivision requirements.
LAFCOs are generally governed by a board comprising of county supervisors, city council members,
independent special district members, representatives of the general public, and an alternate member
for each category. SLO LAFCO is governed by a 7-member board comprising of two county supervisors,
two city council members, two independent special district members, one representative of the
City of Paso Robles
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general public, and an alternate member for each category. All members serve four-year terms and
must exercise their independent judgment on behalf of the interests of residents, landowners, and the
public as a whole. LAFCO members are subject to standard disclosure requirements and must file
annual statements of economic interests. LAFCOs are independent of local government, with their own
staff. All LAFCOs, nevertheless, must appoint their own Executive Officers to manage agency activities
and provide written recommendations on all regulatory and planning actions before the Commission.
In addition, all LAFCOs must also appoint their own legal counsel.
SLO LAFCO
Regular Commissioners
Chair Steve Gregory City Member
Vice Chair Heather Moreno County Member
Dawn Ortiz-Legg County Member
Ed Eby Special District Member
Navid Fardanesh Special District Member
Ed Waage City Member
David Watson Public Member
Alternate Commissioners
Carla Wixom City Member
Bruce Gibson County Member
Vacant Special District Member
Michael Draze Public Member
Staff
Rob Fitzroy Executive Officer
Imelda Marquez-Vawter Senior Analyst
Morgan Bing Analyst
Melissa Morris Commission Clerk
Holly Whatley Legal Counsel
City of Paso Robles
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Contact Information
San Luis Obispo LAFCO’s office is located at 1042 Pacific St, Suite A, in the City of San Luis Obispo. The
LAFCO office is open by appointment to discuss proposals or other matters and can be scheduled by
calling 805-781-5795. Additional information is also available online by visiting slo.lafco.ca.gov.
Acknowledgments
San Luis Obispo LAFCO gratefully acknowledges the time and effort of staff with the City of Paso Robles
in assisting in the preparation of this report, including – but not limited to – the following:
Warren Frace, City of Paso Robles, Community Development Director
Darren Nash, City of Paso Robles, City Planner
Darcy Delgado, City of Paso Robles, Associate Planner
Charlie Moloney, City of Paso Robles, Building Official
Angelica Fortin, City of Paso Robles, Community Services Director
David Athey, City of Paso Robles, Water Resources Manager
Casey Shepherd, City of Paso Robles, Wastewater Manager
Kirk Gonzalez, City of Paso Robles, Utilities Planning and Engineering Manager
Jonathan Stornetta, City of Paso Robles, Fire Chief
Paul Patti, City of Paso Robles, Battalion Chief, Fire Marshal
Damien Nord, City of Paso Robles, Chief of Police
Caleb Davis, City of Paso Robles, Deputy Police Chief
Freda Berman, City of Paso Robles, Public Works Director
City of Paso Robles
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CITY MSR & SOI STUDY
Overview
This report represents San Luis Obispo LAFCO’s scheduled municipal service review for the City of El
Paso de Robles (City or City of Paso Robles), located in the north region of San Luis Obispo County. The
report has been prepared by staff in accordance with the requirements of the Government Code. The
purpose of this report is to produce an independent assessment of municipal services in this area over
the next five years or as necessary, relative to the Commission’s regional growth management duties
and responsibilities as established by the State Legislature. This includes evaluating the current and
future relationship between the availability, demand, and adequacy of municipal services within the
service areas of the City, subject to the Commission’s oversight. The information generated as part of
the report will be used by the Commission in (a) guiding subsequent sphere of influence updates, (b)
informing future boundary changes, and – if merited – (c) initiating government reorganizations, such
as special district formations, consolidations, and/or dissolutions.
The period for collecting data to inform the Commission’s analysis and related projections on
population growth and service demands has been set to cover any major updates and changes since
the last time the MSR was updated in 2013. The financial analysis has been set to cover the last five-
year audited fiscal year period. The timeframe for the report has been generally prepared to cover the
next five to seven-year period, with the former (twelve years) serving as the analysis anchor as
contemplated under State law.
The document outline serves to inform all the state-mandated requirements outlined in government
code sections 56430 and 56425. Written determinations have been included as the concluding chapter
of this document.
City of Paso Robles
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At A Glance
Table 1: City Profile2
Agency Name City of Paso Robles
Formation 1889
Legal Authority California Government Code, Title 4 (34000-45345)
Office Location 1000 Spring Street, Paso Robles, CA 93446
Website www.prcity.com
Municipal Code https://library.municode.com/ca/el_paso_de_robles/codes/code_of_ordinances
City Manager Chris Huot
Employees 223 Full-time, 20 Part-time, 1 Reserve/Contracted, and 88 Volunteers or Interns
Public Meetings Regular City Council Meetings are held on the first and third Tuesday of every
month at 6:00 p.m. Special meetings may be scheduled on an as-needed basis.
City Council Four members elected to four-year terms. City Mayor elected to a four-year term.
Powers California Government Code (37100-37200)
City Service Approx. 12,783 acres or 20 square miles
Area
Population 31,4903
Estimate
Revenues $130,408,1964
2 As of submission of MSR-SOI Request for Information Questionnaire, December 2022
3 United States Census Bureau, City of El Paso de Robles (Paso Robles) Population Data, 2020
4 City of Paso Robles Audited Financial Statements June 30, 2024
City of Paso Robles
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Boundary Map
Figure 1: City of Paso Robles Boundary Map
City of Paso Robles
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Accountability
The City of Paso Robles (City) is governed by a five-member City Council that is elected to four-year
terms through by-district elections. The City district boundaries can be found on the City’s website
using the following link: https://www.prcity.com/DocumentCenter/View/27903/City-Council-District-
Map-PDF?bidId=. The Council is responsible for the establishment of policy relative to the City’s
mission, goals, and operations. The Council has the authority to establish all laws and regulations with
respect to municipal affairs, subject to limitations of the City Municipal Code as well as State and
Federal legislation.
The City Mayor and City Councilmembers receive a monthly stipend set by resolution. City Council
Members receive a total annual compensation of $30,570, the City Mayor receives a total annual
compensation of $35,190, and both the Councilmembers and Mayor receive a total average annual
health benefit of $13,7105. The Council holds regular meetings on the first and third Tuesday of every
month at 6:00 p.m. at the Council Chambers located at 1000 Spring Street, Paso Robles, CA 93446. The
Chambers is open to the public who wish to attend meetings in person; however, meetings are also
available by teleconference. Agendas and board packets are officially posted on the City’s website and
bulletin boards at the meeting location and are made available a minimum of 72 hours prior to the
meeting in accordance with the Brown Act. Every agenda for a regular meeting provides an opportunity
for members of the public to directly address the Council.
Table 2: City of Paso Robles Council Members
City Council Title Term Expiration
John Hamon Mayor December 2026
Kris Beal City Council – District 1 December 2026
Chris Bausch City Council – District 2 December 2026
Steve Gregory City Council – District 3 December 2028
Fred Strong City Council – District 4 December 2028
5 Effective January 2025: https://www.prcity.com/DocumentCenter/View/35633/Stipend-and-Benefit-Information-
Effective-012025-PDF?bidId=
City of Paso Robles
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Other Boards / Commissions
The City has several Ad Hoc Committees and Advisory Body Committees/Commissions that help shape
the City’s needs and guide City operations. There are a total of 3 Ad Hoc Committees (1) Economic
Development; (2) Housing Constraints & Opportunities; and (3) Specific Plans, and a total of 14 Boards
and Commissions, listed below. The City posts each committee’s meeting agendas, purpose, and
members involved on its website.
• Airport Commission • Paso Basin Cooperative Committee
• Building Board of Appeals • Planning Commission
• Development Review Committee • Senior Citizen Advisory
• Housing Authority • Short-Term Rental Task Force
• Housing Constraints & Opportunities • Supplemental Tax Oversight Committee
• Library Board of Trustees • Youth Commission
• Parks & Recreation Advisory Committee • Vacancies and Applications
Staffing & Personnel
The City Council appoints a City Manager to serve as the administrative head of the City government,
responsible for the efficient operation of the City. The City Council also appoints a City Attorney and a
Vice-Mayor, who serves as Mayor Pro Tem in the absence or sickness of the Mayor. The City Manager
appoints department heads, including but not limited to a City Clerk, a Community Development
Director, a Public Works Director, a Utilities Director, a Chief of Police, and a Chief of the Fire
Department. The City is organized into departments operating under the direction of the City Manager.
The City currently employs 223 full-time, 20 part-time, 1 reserve or contracted employees, and 88
volunteers or Interns. Current staffing levels are considered adequate to provide services within the
City’s service area. Several reported positions were added within the last 4 to 5 years to better address
service needs.
Transparency
The City maintains an up-to-date website in compliance with State Law, which contains contact
information for the City, the current agenda, financial transaction reports, compensation reports, and
an SB 272 Enterprise System catalog. Audio/visual recordings are also made available for public access
on the website. The City reports that all Form 700 financial disclosures are current.
City of Paso Robles
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Awards and Recognition
The City of Paso Robles has been the recipient of several awards over the last several years, as shown
in Table 3.
Table 3: City of Paso Robles Awards and Recognition
Name of Award Issuer Year(s)
Received
Achievement for Excellence in Financial Reporting Government Finance FY 2023
Program Officers Association
Disability Employment Award in recognition of the San Luis Obispo County FY 2023
Recreation Services Division’s partnership with NCI
Affiliates
Distinguished Budget Presentation Awards for the Government Finance FY 2023
Annual Comprehensive Financial Report (FY 2021- Officers Association
22) and the Adopted Budget Report (FY’s 2022-23
and 2023-24)
Paso Robles Tertiary Treatment Facility received California Water 2020
the Engineering and Research Achievement Award Environment Association
Paso Robles Tertiary Treatment Facility received Global Water Intelligence 2020
the 2020 Wastewater Project of the Year
Certificate of Award for their Annual California Society of Annually
Comprehensive Financial Report Municipal Finance Officers since 1999 -
or the Government Finance present
Officers Association
Population Profile
Population and Housing Projections
The City’s population is approximately 31,490 based on 2020 US Census data. The General Plan buildout
population threshold is 44,000 residents and is projected to occur by 2050 or later. The 2050 Regional
Growth Forecast for San Luis Obispo County, prepared by Beacon Economics and the San Luis Obispo
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Council of Governments (SLOCOG), provides population projections for jurisdictions in the County
under three separate scenarios. SLOCOG and Beacon Economics’ Medium Scenario population
projections do not suggest that Paso Robles will reach the population growth cap of 44,000, as the
population of the community is estimated to be 37,858 by the year 2050.
In 2025, there were an estimated 12,949 households in the City, reflecting a 13 percent increase since
2010. SLOCOG and Beacon Economics’ Medium Scenario housing unit projections do not suggest that
Paso Robles will reach the housing unit cap of 16,924, as the housing units are estimated to be 14,342
by the year 20506. Table 4 below shows population and housing unit projections for the City of Paso
Robles under the Medium Scenario identified in SLOCOG’s 2050 Regional Growth Forecast. Please refer
to the 2050 Regional Growth Forecast and the City’s General Plan for more information on City
demographics.
Table 4: Population and Housing Unit Projections7
Average
Percent Annual
Change Growth
Description 2010 2015 2020 2025 2030 2035 2040 2045 2050
(2010 - Rate
2050) (2025-
2050)
Population
29,793 31,348 31,490 34,314 35,582 36,561 37,130 37,487 37,858 27% 0.41%
Projections
Housing
11,426 11,706 12,343 12,949 13,452 13,843 14,071 14,215 14,342 26% 0.43%
Projections
Disadvantaged Unincorporated Communities
LAFCO is required to evaluate Disadvantaged Unincorporated Communities (DUCs) as part of this MSR,
including the location and characteristics of any such community. DUCs are defined in Government
Code Section 56033.5 as inhabited territories (containing 12 or more registered voters) where the
annual median household income (MHI) is less than 80 percent of the statewide annual MHI8. Once
the locations of the DUCs have been identified, LAFCOs are further required to evaluate any present
6 City General Plan Total Dwelling Units Projected by 2045.
7 City of Paso Robles 2020 US Census Data, San Luis Obispo Council of Governments 2050 Regional Growth Forecast
(Figures 116 & 120 Medium Scenario), June 2017
8 California’s MHI is $84,097; 80% of the state’s MHI is $67,277. Therefore, the threshold for a DUC is an MHI less than is
$67,277.
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and probable need for services related to sewer, municipal/ industrial water, or structural fire
protection of any DUC within the existing SOI. The legislative intent is to prohibit selective annexations
by cities of tax-generating land uses while leaving out underserved, inhabited areas with infrastructure
deficiencies and a lack of access to reliable potable water and wastewater services.
To identify the MHI for locations within the unincorporated areas of the County, and to identify those
that meet the DUC MHI threshold, LAFCO uses U.S. Census American Community Survey (ACS) five-
year reports for Census Block Groups (CBG)9 and Census Designated Places (CDP)10 data. Once a CBG
or a CDP meets the DUC MHI threshold, LAFCO must then verify that those areas are inhabited as
specified in Government Code Section 56033.5 using registered voter data from the County Clerk-
Recorder.
Using this methodology, there were no DUCs within the City’s service area, existing SOI or proposed
SOI boundaries that meet this definition. However, two DUCs are contiguous to the City’s service area
and adjacent to a portion of the City’s existing SOI, as seen in Figures 2 and 3. Information related to
the DUC’s MHIs and the number of registered voters is presented in Table 5. The identified DUCs
include some public facilities, commercial services, and agriculture-zoned areas with no registered
voters, and determinations made are for the inhabited areas only.
Table 5: City Disadvantaged Unincorporated Communities Census Block Information
Census Block Median Registered
DUC
Group Household Income Voters11
Paso Robles/Templeton DUC Area #1 127.07.1 $54,797 955
Paso Robles DUC Area #2 102.02.2 $61,513 59
9 Block groups are a group of blocks within a census tract with populations of 600 to 3,000 people.
10 CDPs are a statistical geography representing closely settled, unincorporated communities that are locally recognized
and identified by name.
11 SLO County Clerk Recorder Registered Voter GIS Data, October 2023
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Paso Robles/Templeton DUC Area 1
Paso Robles/Templeton DUC Area 1 is partially located within the Templeton Community Services
District (TCSD) service area boundary, SOI boundary, and some areas are entirely outside of the City
and TCSD boundaries. The developed areas located within TCSD’s service area receive water,
wastewater, and fire protection services from the TCSD. The developed areas located within or
contiguous to TCSD’s SOI receive water from private wells or from the TCSD (for those with existing
outside agency service agreements), wastewater from onsite septic or the TCSD (for those with existing
outside agency service agreements), and fire protection from CalFire.
Rancho Paso Mobile Home Park
There is a known deficiency within a portion of Paso Robles/Templeton DUC Area #1, which is located
contiguous to the City’s southwestern service area boundary, outside of the SOI, as seen in Figure 2.
Paso Robles/Templeton DUC Area #1 includes an area of approximately 36 acres of property within the
Rancho Paso Mobile Home Park (MHP) located at 2945 Theatre Dr., Paso Robles, CA 93446; between
the City of Paso Robles service area (city limits) and the TCSD SOI and service area boundaries. It must
be noted that the Rancho Paso MHP is not in the City’s SOI. The Rancho Paso MHP owns and operates
its wastewater treatment facility, receives water from the Walnut Hills Mutual Water Company, and
fire protection from CalFire. The Park Homeowners Association has received several notices of violation
since 2022 from the State Water Resources Control Board. As a result, the Rancho Paso MHP
Homeowners Association and the State Regional Water Quality Control Board have inquired with
LAFCO separately regarding annexing the MHP into TCSD or the City of Paso Robles, whichever is
possible. For these reasons, this area is being studied further in the SOI section of this report.
Paso Robles DUC Area 2
Paso Robles DUC Area 2 is located adjacent to the City service area and SOI and partially within the
Linne CSD service area boundary. The developed areas within Paso Robles DUC Area #2 receive water
from onsite wells, wastewater service from onsite septic tanks, and fire protection from CalFire.
There are no known needs or deficiencies related to sewers, municipal/ industrial water, and structural
fire protection for properties located within or contiguous to the City’s SOI. However, as noted above,
there are known deficiencies within a portion of Paso Robles/Templeton DUC Area 1, consisting of the
Rancho Paso MHP, which was identified as an area to be studied further in the SOI section of this report.
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Should the City seek to evaluate any of the City’s surrounding areas for annexation in the future,
disadvantaged communities should be considered further.
Figure 2: Paso Robles/Templeton DUC Area #1 Boundary Map
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Figure 3: Paso Robles DUC Area #2 Boundary Map
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Social or Economic Communities of Interest in the Area
There are no known City-relevant social or economic communities of interest.
Present and Planned Land Use
City General Plan
The City of Paso Robles adopted its General Plan in 2003, establishing a framework for future growth
based on analysis of available resources and projected demand. The plan outlines policies to guide land
use decisions through the City’s anticipated build-out in 2045. The Land Use Element, revised in 2020
per Resolution 20-152, provides for the opportunity for infill development within the City limits and
expansion of the City limits to incorporate potential annexation areas. It should be noted that the City’s
General Plan provides a clear and detailed policy base with regard to future growth and development
within the City. It comprehensively addresses the various facets of development, provides clear
information to the public, and gives decision-makers a foundation for considering future projects. Table
6 summarizes the acreage of each land use category within the City’s service area.
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Table 6: City General Plan Land Use Distribution12
Land Use Category Acreage Percent
Agriculture 900 6.8%
Residential Categories
Residential Rural 0 0%
Residential Suburban 604 4.7%
Residential Single Family 2,983 23%
Residential Multi-Family 631 4.9%
Mobile Home Park 58 0.4%
Residential Total 4,276 33.1%
Commercial Categories
Neighborhood Commercial 41 0.3%
Office Professional 21 0.2%
Downtown Commercial 42 0.3%
Community Commercial 98 0.8%
Regional Commercial 180 1.4%
Commercial Service 481 3.7%
Resort/Lodging 38 0.3%
Commercial Total 896 6.9%
Mixed Use Categories
Mixed Use (Commercial & Multi-Family-8) 21 0.2%
Mixed Use (Commercial & Multi-Family-12) 43 0.3%
Mixed Use Total 64 0.5%
Industrial Categories
Business Park 1,682 12.6%
Industry 51 0.4%
Industrial Total 1,674 13.0%
Other Categories
Public Facilities 1,682 13%
Parks and Open Space 1,609 12.7%
Open Space 27 0.2%
Other Categories Total 3,342 25.9%
Unassigned (Includes roadways & right-of-ways) 1,736 13.4%
Total 12,909 100%
12 Table LU-2 in the City of El Paso de Robles General Plan, 2003, Revised March 2020. Land Use Inventory, updated to
reflect General Plan Amendments through May 26, 2020. Please note that It is expected that the North Chandler Ranch
Area Specific Plan will include changes to some of the above acreage in order to attain the 879 dwelling units provided by
the General Plan.
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In its 1991 City Land Use Element update, the City established the maximum potential geographical
boundaries to which the City could grow in the foreseeable future, as well as areas within which
development could impact the City. These geographical boundaries are called the City’s Planning
Impact Area. The City has no land use authority over areas within the Planning Impact Area that are
outside of the City limits. In addition, any potential expansion of the City or its SOI to include portions
of the Planning Impact Area currently outside its SOI would require LAFCO consideration and approval.
It should be noted that a Planning Impact Area is not recognized under state law and thus does not
require LAFCO approval to be established by the City. The Study Areas identified in the SOI section of
this MSR & SOI Study are all within the City of Paso Robles Planning Impact Area, as identified under
the Land Use Element of the City’s General Plan, with the exception of one (SOI Study Area 12). Figure
4 shows the City’s existing SOI and Planning Impact Area.
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Figure 4: City of Paso Robles Existing SOI and Planning Impact Areas13
13 Figure LU-1 of the City’s Land Use Element | City of Paso Robles General Plan, Revised March 2014
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County General Plan
The County’s Inland Area Plans are components of the County General Plan that contain goals, policies,
and programs that apply to the following locations:
1) “areawide” (throughout the planning area);
2) in rural areas; and
3) in this case, within the unincorporated urban areas adjacent to incorporated cities.
In addition, the County establishes City Urban Reserve Lines (URLs), which are urban areas that are not
distinct communities; rather, they are unincorporated extensions of the adjacent cities. The Paso
Robles URL encompasses approximately 2,147 acres outside the city limits.
The City and County intend to cooperate regarding growth and development on the urban fringe of the
City. The City Council of Paso Robles previously considered and approved the Memorandum of
Agreement (MOA) between the City of Paso Robles and the County of San Luis Obispo on November
20, 2012. The Board of Supervisors adopted the MOA on January 8, 2013. An MOA is not a mandatory
requirement but rather a strategic tool to facilitate regional collaboration, acknowledge proposed
changes to sphere boundaries, and explore methods to reach agreement on development standards
and planning/ zoning requirements within the sphere. Its purpose is to ensure that growth and
development within the sphere align with the priorities of the affected city and proceed in a logical,
coordinated, and orderly manner. The City and County are working on updating the Agreement. Once
updated and approved, a copy will be made available on the LAFCO website. Figure 5 below shows the
City’s land use designations within the service area, the County’s land use designations adjacent to the
City boundaries, and the URL.
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Figure 5: City of Paso Robles Land Use Designations
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Services & Operations
Authorized Services
The City of Paso Robles is a full-service city with in-house City staff, including general government,
community development, public safety, and public works services. The City has a total of 8 City
departments. Overall, the City has the capacity to provide adequate services to meet community
demand, and City representatives anticipate that they will be able to continue to provide service in
accordance with projected growth rates. Table 7 provides a summary of municipal services and
associated service providers within Paso Robles.
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Table 7: City of Paso Robles Service Delivery
Major Service Function Responsible Agency Service Provider
Airport City City Public Works Department
Animal Control Contract with County SLO County Department of Animal
Regulation
Code Enforcement City City Police Department
Electricity Franchise Agreement PG&E and Central Coast Community
Energy
Fire and Emergency City City Fire and Emergency Services
Department
Homelessness City City Community Services Department
Housing City City Community Development
Department
Landscape & Lighting City City Public Works Department
Law Enforcement City City Police Department
Library City City Community Services Department
Natural Gas Franchise Agreement Southern California Gas Company
Parks and Recreation City City Community Services
Department
Planning, Building, & Engineering City City Community Development
Department
Solid Waste Franchise Agreement Paso Robles Waste Disposal, Inc.
Streets/ Road Maintenance City City Public Works Department
Stormwater City City Public Works Department
Water City City Utilities Department
Wastewater City City Utilities Department
The following pages summarize the role, purpose, and responsibility of each of the 8 departments with
a focus on critical services.
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City Council/City Manager’s Office
The City Manager’s Office is responsible for the implementation of policies established by the Paso
Robles City Council and the coordination of those efforts through the City’s nine departments. Primary
functions of the City Manager's Office include legislative support, policy implementation, budget
development, strategic planning, economic development, elections, and community engagement
services. The City Manager’s Office includes several divisions that provide specific services to the public,
in alignment with adopted City Council Goals. These divisions include City Clerk, Civic Engagement, and
Economic Development. The total reported FY 2025-2026 Budget for the City Manager’s Office was
$2.7 million; approximately 3 percent of the City’s total budget.
Administrative Services
The Administrative Services Department provides finance, human resources, risk management, and
information technology services to each City department. The Administrative Services Department
includes the following divisions: 1) Finance Division, 2) Human Resources Division, and 3) the
Information Technology (IT) Division. The total reported FY 2025-2026 Budget for Administrative
Services was $7.1 million; approximately 8 percent of the City’s total budget.
Department of Community Services
The Community Services Department is responsible for providing an array of quality-of-life,
educational, and recreational programs at facilities throughout the community. There are four divisions
in the Community Services Department as follows: 1) Library, 2) Recreation, 3) Parks Maintenance, and
4) the Homeless Services Division. The total reported FY 2025-2026 Budget for the Community Services
Department was $6.6 million; approximately 7 percent of the City’s total budget.
Service Delivery & Performance
Library Division: The City Library Division is the only City-run library in San Luis Obispo County. A variety
of books, audio-visual materials, magazines, and digital resources are available in addition to online
databases that may be accessed remotely by library cardholders. Library staff offer educational
opportunities such as lectures, book discussions, and early literacy story times. The library also offers
outreach services, which include home delivery services for the homebound, pop-up libraries, and
mobile library services. The City Library is open 57 hours per week. The Paso Robles City Library is a
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member of the Black Gold Cooperative Library System, enabling additional resource sharing among
Central Coast area public libraries.
Recreation Division: The Recreation Division offers a variety of classes, camps, and leagues for all ages.
Recreation staff provide the following services, including overseeing the Teen Center at Centennial Park
and an after-school open gym, processing class registrations, handling facility reservations, and
managing memorial trees and bench requests. Recreation staff coordinate the use of seven major
parks, featuring sports fields, playgrounds, tennis, pickleball, and basketball courts, and BBQ pavilions.
The seasonal Aquatics staff provide swim lessons and public swim opportunities at two public
swimming pools. Contract instructors provide an average of 300 programs per month at Centennial
Park and the Municipal Pool. Recreation Services also oversees the contracts to provide administrative
services at the Senior Center, Teen Center, and concession services at Barney Schwartz Park and
Sherwood Park.
Parks and Trails Division: The Parks and Trails Division utilizes eight employees to manage and maintain
more than 120 acres of parks and trails. Parks and Trails staff collaborate with local sports groups and
volunteers to keep fields properly maintained. Picnic areas and other outdoor amenities are also
maintained by staff.
Homeless Services Division: The Homeless Services Division is the newest division of the department.
In 2023, the City Council adopted the Paso Robles Strategic Plan to Address Homelessness. The
completed plan includes six focus areas, with accompanying goals and action items, guiding efforts to
better manage the complex issues related to homelessness. Recognizing a lack of capacity, diversity in
areas of responsibility, and the profound impacts within the community, a key element of the plan is
the development of the Homeless Services Division.
Department of Community Development
The Community Development Department staffs the City’s permit counter and responds to requests
for all development and planning-related issues. The Community Development Department also
provides technical analysis, staff support, recommendations, and public meeting assistance to the
Planning Commission and City Council on all land use issues upon which they must act. The staff also
organizes and facilitates a variety of public outreach and community participation processes related to
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planning and development activities. There are three divisions in the Community Development
Department as follows: 1) Planning, 2) Building, and 3) Engineering Division. In addition, this
Department consists of Housing Programs that provide services related to low- and moderate-income
housing, the Paso Robles Housing Authority, and Community Development Block Grant-funded
projects. The total reported FY 2025-2026 budget for the Community Development Department was
$5.5 million; approximately 6 percent of the City’s total budget.
Service Delivery & Performance
The Planning Division facilitates the land use planning and development process, assisting the City
Council, Planning Commission, and the Development Review Committee in establishing and carrying
out land use policies and plans. The City’s General Plan serves as the foundation for land use policy,
while specific plans and the Zoning Code function as key tools for its implementation.
The Building Division interprets the Building Code by overseeing the plan check and inspection
process for all construction requiring a Building Permit.
The Engineering Division is responsible for maintaining engineering standards, public improvements in
the right-of-way, subdivision map processes, grading and drainage plans, circulation plans, traffic safety
operations, Storm Water Management Plan (SWMP) implementation, and coordination with Utilities
and Public Works functions. The Engineering Division is responsible for ensuring that private
developments are designed in a manner consistent with City and other applicable codes and standards.
Police Department
The Department is responsible for the protection of life and property and maintaining social order
within the community. The City of Paso Robles Police Department (PRPD) provides its own law
enforcement and dispatch services within the City. The PRPD station is located at 900 Park Street, Paso
Robles, CA 93446. The Chief of Police is responsible for administering and managing the PRPD. There
are three divisions in the Police Department as follows: 1) Administrative Division, 2) Operations
Division, and 3) Support Services Division. The PRPD established a Policy Manual that contains current
policies, rules, and guidelines of the department, approved June 2024. The total reported FY 2025-2026
budget for the PRPD was $19.4 million; approximately 21 percent of the City’s total budget.
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Capital Facilities & Equipment
The PRPD operates out of a single facility located at 900 Park Street. Opened in 2002, this facility is
shared with the Paso Robles Emergency Services Department and is commonly referred to as the Paso
Robles Public Safety Center. The center houses all PRPD personnel and equipment, with the exception
of the department’s firearms training range, which is located at the Paso Robles Municipal Airport.
The PRPD fleet consists of a diverse range of vehicles and specialized equipment to support its
operations. The fleet includes 18 marked patrol units, 2 dedicated K9 vehicles, 2 School Resource
Officer vehicles, 3 Community Service Officer vehicles, 2 motorcycles, 1 Crime Scene Investigator
vehicle, 3 Special Enforcement Team vehicles, 4 detective vehicles, 2 volunteer vehicles, 2 training
vehicles, and 5 Command Staff vehicles. In addition, the department maintains 6 utility trailers, 2 all-
terrain vehicles (ATVs), 1 utility terrain vehicle (UTV), and 5 unmanned aerial systems (drones). Most
recently, the department enhanced its capabilities with the acquisition of an armored rescue vehicle.
Staffing & Personnel
The PRPD has 63 sworn employees, 37 non-sworn employees, and 86 total positions14. According to
PRPD Policy 206.2, minimum staffing levels should result in the scheduling of at least 3 Patrol Officers
and 1 Watch Commander (total of 4 sworn officers) on duty whenever possible. Minimum staffing for
communications/dispatch should result in the scheduling of at least 2 dispatchers on duty whenever
possible. The City consistently meets these staffing requirements, ensuring adequate coverage and
operational readiness. In addition, the City’s Safety Element of the General Plan recommends a ratio
of 0.5 non-sworn police personnel per 1,000 population and a ratio of 1.4 to 1.6 sworn police personnel
per 1,000 population. Using the prescribed formula, the City of Paso Robles meets these recommended
ratios, indicating sufficient personnel to respond to service calls.
31,49015 population ÷ 1,000 = 31 people
63 sworn employees’ ÷ 31 = 2.03 officers per 1000 people
37 non-sworn employees’ ÷ 31 = 1.19 officers per 1000 people
14 City of Paso Robels FY 2024-2025 & 2025-2026 Adopted Budget, Police Department Overview
15 United States Census Bureau, City of El Paso de Robles (Paso Robles) Population Data, 2020
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The United States Department of Justice, Federal Bureau of Investigation, reported a nationwide and
state of California ratio of 3.5 officers per 1000 people. In 2024, the average officers/1,000 ratio for the
seven cities in San Luis Obispo County was about 2.19 officers, with Pismo Beach being the highest at
4.17 and Atascadero the lowest at 1.48 officers/1,000. The following figure illustrates the current
staffing comparison between PRPD, County, and the national averages.
Figure 6: 2024 Officers/Sworn Personnel per 1,000 Population16
4
3.5
3
2.5
2
1.5
1
0.5
0
Officers/Sworn Personnel per 1,000 People
National County PRPD
Service Delivery & Performance
The PRPD provides patrol services 24 hours a day, seven days a week, and prioritizes responses to
requests for emergency services using available resources. During FY 2024, there were 91,213 total
dispatch center calls (911, lobby, business line, CFS); of these, 24,322 were citizen-initiated calls for
service (CFS) and 18,356 were Officer-initiated calls. The City reports that the average response time
for Priority One calls is 7 minutes 13 seconds.17 However, the average response time for the City’s
highest priority calls, where there is reason to believe an immediate threat to life exists (known as their
“Priority 1” calls), averaged 3 minutes and 85 seconds18. The City’s goal for response time for these
Priority 1 calls is 4 minutes and 30 seconds.
The PRPD participates in the San Luis Obispo Regional SWAT team. The San Luis Obispo Regional SWAT
Team is comprised of two specialized teams: the Crisis Negotiation Team (CNT) and the Special
Weapons and Tactics Team (SWAT). The unit is comprised of members from the following Police
16 United States Department of Justice, Federal Bureau of Investigation, Crime Data Explorer, 2024
17 City of Paso Robels FY 2024-2025 & 2025-2026 Adopted Budget, Police Department FY2022-2023 Annual Data at a
Glance
18 City of Paso Robles Staff, October 2025
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Agencies: San Luis Obispo Police, Paso Robles Police, Arroyo Grande Police, Pismo Beach Police, Grover
Beach Police, Morro Bay Police, and Cal Poly Police.
In 2020, Paso Robles voters approved Measure J-20, a one-cent local transaction and use tax.19 One of
the three priorities for the Measure is to adequately staff and equip the police department to augment
existing services and proactively plan for future demands. In FY 2022-2023, nine additional sworn
positions and 3 civilian positions were added to the department. By the end of FY 2022-2023, the
department’s sworn staffing increased by 13 percent when compared to before Measure J-20 was in
place.
Using the above-mentioned Measure J-20 funds, the PRPD will be preparing a comprehensive analysis
with an objective, unbiased, and data-driven assessment of Fire and Police Staffing and Response
Capabilities. This analysis will provide the Public Safety Chiefs with a comprehensive Community Risk
Assessment (CRA) and Standards of Cover (SOC). The assessment will consider best practices of other
municipalities and like organizations; outline implementation in accordance with City Council and
department goals as they relate to vision, mission, and values; provide recommended improvements
to the departmental organizational structure, and the roles and functions within it in the context of the
City’s budget and existing resources, among other suggestions. The cost to conduct a comprehensive
assessment of the police department and update the fire department SOC and CRA is approximately
$150,000. The assessment is proposed to be funded by Measure J-20 in FY 2024-2025. Tentative Project
Completion date is set for September 1, 2025.
Department of Fire and Emergency Services
The Paso Robles Fire and Emergency Services (PRFES) Department is an all-hazard fire department that
provides a variety of response services, including structural and wildland fire suppression, advanced
life support, paramedic-level emergency medical care, and entrapment extrication. The PRFES
Department also provides technical rescue services, including high-angle, trench, swift-water, confined
space, as well as a fully capable hazardous materials emergency response in conjunction with the San
19 Current Sales Tax Rate is 8.75%. Due to the passage of Measure J-20, an additional 1% sales tax went into effect
beginning on April 1, 2021. The sales tax rate prior to April 1, 2021, was 7.75%. Like Measure E-12, Measure J-20 is a
general tax with the main priorities towards fire and emergency services, police services, and street repair and
maintenance, as approved by City Council in Resolution 20-118.
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Luis Obispo County Regional Hazardous Materials Team. The PRFES Department provides automatic
and mutual aid to other fire agencies within San Luis Obispo County and non-response services20
through its Community Risk Reduction Division. The Chief of Fire and Emergency Services is responsible
for administering and managing the PRFES Department. There are two divisions in the PRFES
Department as follows: 1) Operations, and 2) Community Risk Reduction. The PRFES Department’s
operating funds are supplemented primarily by sales taxes, Measure J-20, transient occupancy tax,
property taxes, and funds from service and permit fees. The total reported FY 2025-2026 Budget for
the PRFES Department was $12.7 million; approximately 14 percent of the City’s total budget.
Capital Facilities & Equipment
PRFES Department has three staffed Fire Stations. Fire Station 1 is located at 900 Park St, Paso Robles,
CA 93446, in the Public Safety Center at the corner of 9th and Park Street. Fire Station 2 is located at
235 Santa Fe Ave, Paso Robles, CA 93446, on the East side of town. Fire Station 3 was officially opened
in 2023 and is the newest station located at 2924 Union Rd, Paso Robles, CA 93446. The Airport Fire
Station is unstaffed, but houses specialty equipment utilized during aircraft emergencies.
The department's emergency response apparatus compliment is comprised of: (2) first-out Type 1
Engines, (1) reserve Type 1 Engine, (1) Type 3 Engine, (1) Ladder Truck, (1) Heavy Rescue, (1) Rescue
Squad, (1) Airport Rescue Firefighting crash vehicle, (1) Kawasaki Mule Utility Task Vehicle, and (1)
Unmanned Aerial Vehicle Drone.
Staffing & Personnel
Each day, there is a minimum of one Battalion Chief, three Fire Captains, three Fire Engineers, and up
to six Firefighters rendered from three fire stations. The City’s Safety Element of the General Plan
recommends a ratio of 0.8 to 1.3 Firefighters per 1,000 population. The PRFES Department has 37
Firefighters and 51 total positions.21 Using the prescribed formula, the City of Paso Robles meets these
recommended ratios, indicating sufficient personnel to respond to service calls.
20 Non-response services include public safety education, disaster preparedness, fire and life safety inspections, and new
building planning and construction review and permitting.
21 City of Paso Robels FY 2024-2025 & 2025-2026 Adopted Budget, Fire and Emergency Department Overview and City
Staff Input
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31,49022 population ÷ 1,000 = 31 people
37 Firefighters ÷ 31 = 1.19 firefighters per 1,000 people
The following figure illustrates the current staffing comparison between the PRFES Department and
the National Fire Protection Association’s national averages within the 2020 US Fire Department
Profile. The career staffing level for the PRFES Department is 1.19 per 1,000 population, which is below
the national average of 1.72.23
Figure 7: Firefighters per 1,000 Population24
2
1.5
1
0.5
0
Career Firefighters
National PRFES Dept
Service Delivery & Performance
The PRFES Department responds to emergencies 24 hours a day, 7 days a week. In FY 2022-2023, the
PRFES Department responded to 4,748 calls for service, 3,276 were medical related, and 187 were fire
related.25 As outlined in the 2001 Growth Management Plan, the 2022 Strategic Plan, and the 2003
City of Paso Robles Safety Element, the City Council has adopted a standard to respond to all
emergencies within four minutes or less, 90 percent of the time. In 2022, the average response time
for the PRFES Department was 5 minutes and 42 seconds, and 90th percentile responses were 8
minutes and 26 seconds.26 PRFES Department response time goals were met 50.5 percent of the time
in 2021 and 57 percent of the time in 2022. Increasing demands for emergency services, the number
of response resources, simultaneous calls, and geographical travel distances between fire stations are
all contributing factors in the department’s ability to meet the City Council's adopted response goals.
22 United States Census Bureau, City of El Paso de Robles (Paso Robles) Population Data, 2020
23 Table 2 of the National Fire Protection Association US Fire Department Profile-2020
24 National Fire Protection Association US Fire Department Profile-2020 and City Staff Input
25 City of Paso Robles FY 2022–2023 Year in Review, Fire & Emergency Service
26 City of Paso Robles FY 2022–2023 Year in Review, Fire & Emergency Service
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To keep pace with increasing demand, a fourth response unit (paramedic squad) was added; as
reflected in the 10-year staffing analysis, implementation of the paramedic squad will be implemented
on November 23, 2025.
Additional apparatus, equipment, and staffing are also available through automatic27 or mutual aid28
agreements with the following fire departments, districts, and agencies. PRFES Department also
provides automatic and mutual aid to other fire agencies within San Luis Obispo County. Agencies
outside of San Luis Obispo County fall under the Master Mutual Aid System, which provides access to
fire departments statewide when needed.
• Morro Bay Fire Department
• Atascadero Fire Department
• Paso Robles Fire Department
• Atascadero State Hospital Fire
Department • Pismo Beach Fire Department
• CAL Fire San Luis Obispo • San Luis Obispo County Fire
• Camp Roberts Fire Department • San Luis Obispo City Fire Department
• Cambria Fire Protection District • San Miguel Fire Protection District
• California Men's Colony
• Santa Margarita Fire Protection District
• Five Cities Fire Authority
• Templeton Fire Protection District
PRFES Department was rated 3/3X out of 10 through the Insurance Service Office (ISO).29 The ISO is an
agency that evaluates fire protection features for all fire departments to establish rates for
underwriters, such as property insurance providers. ISO uses a rating system that is based on a scale of
one through 10, with one being the best fire protection rating and 10 being the worst. ISO ratings are
also used by fire departments and municipalities as a benchmark for evaluating and improving their
fire services30. In the ISO’s 2020 evaluation of the PRFES Department, the most significant point
27 Automatic Aid: a predetermined immediate joint response as a means to provide effective fire Protection.
28 Mutual Aid: responses to supplement the resources of any fire agency during a period of actual or
potential need, including move-up and cover assignments.
29 Public Protection Classification Summary Report for Paso Robles, effective September 1, 2020
30 According to ISO's Fire Suppression Rating Schedule, four main criteria comprise a fire rating score; 1) 50% | Quality of
local fire department (i.e., staffing levels, training & proximity of the firehouse) , 2) 40% | Availability of water supply (i.e.,
prevalence of fire hydrants & quantity of water available to put out fires), 3) 10% | Quality of the area's emergency
communications systems (i.e., 911), and 4) 5.5% | Extra credit, Community outreach (i.e., fire prevention and safety
courses).
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deductions occurred in the 'Quality of the Fire Department' and 'Availability of Water Supply'
categories, which together account for 90 percent of the overall score. The assessment identified
several critical deficiencies, including issues with emergency reporting, emergency dispatch protocols,
training facilities and use, deployment analysis, and company personnel.
In April 2022, the City Council approved the PRFES Departments Community Risk
Assessment/Standards of Cover & Five-Year Strategic Plan. The document was designed to provide
elected officials and residents with information on fire service operations and integrated risk
management planning services. The Strategic Plan was intended to be used in conjunction with the
Community Risk Assessment as a living management tool that provides short-term direction, builds a
shared vision, documents goals and objectives, and optimizes the use of resources. Both the PRFES
Department and PRPD are pursuing a joint comprehensive Community Risk Assessment (CRA) and
Standards of Cover (SOC) (second time for the PRFES Dept). The assessment is proposed to be funded
by Measure J-20 in FY 24-25. Tentative Project Completion date is set for November 2025.
As was mentioned in the PRPD section of this report, in 2020, Paso Robles voters approved Measure J-
20, a one-cent local transaction and use tax. One of the three priorities for the Measure is to adequately
staff and equip the fire department to augment existing services and proactively plan for future
demands. Consistent with the department’s Five-Year Strategic Plan, the FY 2022-2023 budget included
the addition of one deputy chief, one fire inspector, and funding for 100 percent of six firefighter costs
previously funded through a federal Staffing for Adequate Fire and Emergency Response (SAFER) grant.
Fire Station 3 was also funded with a combination of Development Impact Fees and Measure J-20
funds.
Department of Public Works
The Public Works (PW) Department is responsible for the construction and maintenance of the City
streets, traffic signals, medians, parkways, open space, trees, public parking lots, stormwater facilities,
the Municipal Airport, and City-owned buildings. Additionally, the PW department manages most of
the City’s capital improvement projects and is responsible for maintaining the City’s fleet of rolling
stock. The Department is organized into eight major functions: 1) Administration, 2) Capital Projects
Engineering, 3) Paso Robles Municipal Airport, 4) Stormwater Program, 5) Street Maintenance, 6)
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Facilities Maintenance, 7) Fleet Maintenance, and 8) Landscape Maintenance. The total reported FY
2025-2026 Budget for the PW Department was $13.9 million; approximately 15 percent of the City’s
total budget.
Service Delivery & Performance
Administration: Administration provides overall direction, leadership, and oversight to the seven other
functions of the PW Department. Significant focus areas include budget, personnel matters, Council
items, and future planning.
Capital Projects Engineering: Capital Projects Engineering manages the design, funding, and
construction of capital projects for all City departments, with the primary focus being
transportation/streets projects, including the replacement of sewer, water, and stormwater pipes.
Staff manage approximately 25 to 30 projects at any given time.
Paso Robles Municipal Airport: The 1,300-acre Paso Robles Municipal Airport site serves the general
aviation community as well as the California Department of Forestry Air Attack Base, California Highway
Patrol Air Operations Division, military, air charter, air ambulance, and other flying services. Sections
of the property have been developed as an industrial park with utilities and infrastructure
improvements. Just under 500,000 square feet of industrial building space is operational at the Airport,
housing nearly 40 individual businesses and providing hundreds of jobs in the community. Almost 200
aircraft are based at the Airport. The Airport is owned and operated by the City, with technical advice
and review provided by an appointed Airport Commission, with policy decisions made by the City
Council. The Airport is one of only five percent of airports in the United States that are self-sustaining
(meaning it is not subsidized by the General Fund).
Stormwater Program: The City is enrolled in the Phase II Municipal Stormwater Program as required by
the State of California Water Resources Control Board. The program requires the City to develop and
implement a Stormwater Management Plan in order to reduce or eliminate pollutants in stormwater
runoff and non-stormwater discharges. To that end, the Division manages programs that address
construction site stormwater runoff control, illicit discharge detection and elimination, pollution
prevention, postconstruction stormwater runoff management, and public education and participation.
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Street Maintenance: The Street Maintenance Division maintains more than 150 lane miles or 33 million
square feet of pavement and sidewalks. Maintenance and repair activities are focused on degraded
road edges, crack sealing, potholes, curb painting, streetlights, signage, sidewalk repair, minor road
repair projects, and traffic signals. The Division also supports emergency services and the City's special
events with traffic control and road closures.
Since 2012, the City has expended more than $60.7 million on road repair projects using Supplemental
Sales Tax Measure E-12 and other available funding sources like SB 1, Gas Tax, and Supplemental Sales
Tax Measure J-20. Additionally, $42.1 million is committed to planned or underway projects.
With the expiration of Measure E-12 in March 2025, in November 2024, the voters of Paso Robles
approved a continuation of the ½ Supplemental Sales Tax – Measure I-2431. An average of $15.4 million
per year is estimated to be spent on road repair going forward using Measure I-24 funds.
Facilities Maintenance: Facilities Maintenance staff service, maintain, and repair approximately
180,000 square feet of City facilities, including City Hall, Public Safety Center, Centennial Park, Senior
Center, Veterans Center, and Municipal Pool. Additionally, they respond to all calls for service from
both the public and City staff. A 6-person volunteer graffiti abatement crew addresses all reports of
graffiti within City limits.
Fleet Maintenance: Fleet Maintenance procures and maintains over 250 pieces of equipment and
vehicles, ranging from weed eaters and mowers to fire engines to large loaders and backhoes. The
majority of the service is done in-house. Compliance with all emission mandates and inspection
requirements is also the Fleet Maintenance Division’s responsibility.
Landscape Maintenance: Landscape maintenance staff are responsible for the health and maintenance
of more than 15,000 City trees, approximately 200 acres of Landscape and Lighting District property,
more than 165 acres of open space weed abatement, and all City-owned medians and parkways. Staff
respond to all calls for service from the public and City staff.
31 Measure I-24 was a ballot measure that was passed on the November 5, 2024, within the City of Paso Robles. The
Measure maintains (and not increase) the existing ½ cent local sales tax that was set to expire on March 31, 2025
(Measure E-12). Measure I-24 is anticipated to generate $6.5 million annually which goes into the City’s general fund.
Since 2012, 100 percent of this revenue (about $78 million) has been allocated to local road repair projects.
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Department of Utilities
The Utilities Department was created in 2022 after recognizing the significant regulatory and
operational impacts facing City-operated utilities that require comprehensive, specialized
management and focused staffing efforts. The Department is dedicated to maintaining and operating
the City’s critical infrastructure to provide robust and reliable services in the areas of potable water,
wastewater, recycled water, and solid waste. The Department seeks to promote water conservation,
harness the potential of recycled water, and minimize solid waste generation through innovative
solutions and community education. The Utilities Department is comprised of five main divisions: 1)
Recycled Water, 2) Solid Waste, 3) Wastewater, 4) Potable Water, and 5) Planning and Engineering.
The total reported FY 2025-2026 Budget for the Utilities Department was $26.2 million; approximately
28 percent of the City’s total budget.
Service Delivery & Performance
Recycled Water Division: The City of Paso Robles has a master plan to produce tertiary-quality recycled
water and distribute it to east Paso Robles, where it may be safely used to irrigate City parks, golf
courses, and vineyards. This will reduce use of water from the City’s potable water supplies, including
use of groundwater from the Paso Robles Groundwater Basin, and further improve the sustainability
of the City's various water supplies.
Tertiary Treatment Facilities
In 2019, the City’s Wastewater Division completed construction of Tertiary Treatment Facilities at the
Wastewater Treatment Plant and began operating the first part of this recycled water system, which
includes filtration and ultraviolet light disinfection facilities. These new Tertiary Treatment Facilities
produce very high-quality recycled water that is safe for a variety of uses, including irrigation of sports
fields and wine grape vineyards. The project also included flow equalization basins, a recycled water
storage pond and pump station, a nutrient harvesting system, and a new maintenance shop. Global
Water Intelligence awarded the City its 2020 Wastewater Project of the Year due to the project's many
environmentally innovative features.
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Recycled Water Distribution System
The City is preparing to build a major distribution system to deliver recycled water east to Paso Robles.
In 2023, the City completed construction of a major segment of pipeline under the Salinas River.
Completion of the City’s recycled water distribution system will involve constructing the remainder of
the distribution system (pump station, 3.3 miles of additional pipeline, and a 900,000-gallon storage
tank) and will be phased to align with the development of sufficient recycled water demand and
customer revenues to support repayment of infrastructure investment. Although the distribution
system has not yet been completed, the City currently delivers a small amount of recycled water to a
single recycled water customer, Caltrans, via the City’s WWTP recycled water treatment.
Table 8: City of Paso Robles Current and Projected Recycled Water Use32
Buildout
Recycled Water Use (AFY) 2020 2025 2030 2035 2040 2045
(2050 or later)
Landscape Irrigation
0 5 5 180 250 310 450
(potable offset)
Water Division: Paso Robles Water Division (Water Division) maintains the distribution system, fixes
leaks, installs customer connections, and installs fire hydrants. Staff monitors and enforces the City’s
specifications for water system construction, performs plan checks for new developments, and inspects
installations. Other responsibilities include monitoring and enforcing the City’s cross-connection
program.33 The Urban Water Management Plan34 (UWMP), adopted in July 2021, was prepared to help
guide the City’s water management efforts for the next 20 years and beyond in accordance with State
law. The UWMP documents the City’s sources of water supply, defines water demands, presents a
drought risk assessment and water shortage contingency plan, and describes implementation of water
32 Table 11 of the City of Paso Robels Urban Water Management Plan, Adopted July 2021 and City Staff Input related to
changes to Recycled Water Use Projections, October 2025
33 A cross-connection is an actual or potential connection between a potable (public water) system and any system, or
source of non-potable water or other substances that could allow contaminants to enter the potable system (via
backflow).
34 Urban water suppliers that provide over 3,000 acre-feet of water per year or serve more than 3,000 connections are
required to prepare an UWMP to support their long-term resource planning and to ensure that adequate water supplies
are available to meet existing and future water demands.
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demand management measures. The UWMP is currently undergoing revision in accordance with State
requirements, and the information cited in this document is subject to change.
The City’s existing water service area coincides with City boundaries. The City currently provides water
to approximately 10,760 residential and non-residential service connections. The City’s water service
is provided through approximately 172 miles of waterlines, four reservoirs providing over 12 million
gallons of storage, and six booster stations used to pump to higher elevations. The City operates 19
wells, two microfiltration water treatment plants, and two arsenic removal treatment systems.
Currently, much of the City’s water demand is for single-family residential use; in the future, it is
expected that commercial demand and other non-residential demand will increase relative to single-
family residential demand.
Water Supply
The City’s water supply is planned to serve the City's buildout only. The City has not planned and
developed its water supply to serve communities or areas outside the City beyond the current SOI or
the proposed SOI. The City of Paso Robles has historically relied on the Paso Robles Groundwater Basin
and the Salinas River for its municipal water supply. Water from Lake Nacimiento is a relatively recent
addition to the City’s water portfolio, and expanded use of recycled water is planned for the future.
• Basin Groundwater – The City operates deep wells that pump groundwater from the
Department of Water Resources Basin Number 3-004.06 (Paso Robles Area Subbasin). The
Paso Robles Area Subbasin has been designated as a high-priority and critically over-drafted
basin by the State, requiring management under the Sustainable Groundwater
Management Act (SGMA). As noted in the UWMP, the City plays a role in carrying out the
requirements of SGMA to ensure sustainable basin management. The City and other Paso
Robles Basin Groundwater Sustainability Agencies developed and gained approval of a
basin-wide Groundwater Sustainability Plan (GSP). Implementation of the GSP will fulfill the
requirements of the Sustainable Groundwater Management Act for the Paso Robles
Subbasin of the Salinas Valley Basin. The sustainability goal of this GSP is to sustainably
manage the Paso Robles Subbasin groundwater resources for the long-term benefit of
Subbasin users. The Paso Robles Subbasin GSP has been jointly developed by four
Groundwater Sustainability Agencies (GSAs):
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City of Paso Robles GSA
o
Paso Basin - County of San Luis Obispo GSA
o
San Miguel Community Services District GSA
o
Shandon - San Juan GSA
o
The supply amounts in Table 9 describe the permitted supply available to the City.
• Salinas River –Salinas River water is used pursuant to appropriative surface water rights and
permits issued by the State Water Resources Control Board. The City’s Permit number 5956,
as amended on November 6, 1981, allows the City to extract up to eight cubic feet per
second (3,590 gallons per minute (gpm)) with a maximum extraction of 4,600 AFY.
• Nacimiento Water Project (NWP) –The City holds a 6,488 AFY delivery entitlement with the
San Luis Obispo County Flood Control and Water Conservation District. The City currently
utilizes Nacimiento water in three ways that diversify the City’s water supply portfolio and
improve supply reliability. First, the City treats Nacimiento water at its water treatment
plant for direct delivery to customers. Second, water is percolated into the Salinas River
channel and recovered through a specially designed well. Finally, in times of drought, the
City can augment surface water supplies with Nacimiento water to maintain the
productivity of the City’s river wells. Nacimiento water requires treatment before
introduction into the City’s drinking water system in all cases.
The City completed construction of a 2.4 million-gallon-per-day (mgd) treatment plant in
late 2015. The plant is typically operated eleven months out of the year. If operated year-
round at full capacity, the treatment plant can provide up to 2,688 AFY. In addition to direct
delivery, Nacimiento water is utilized through the use of a dedicated recovery well. This
operation allows Nacimiento water to be turned into the Salinas River channel and
recaptured. It is estimated that the recovery well will be pumped at a rate of 400 gpm for
five months out of the year, averaging 269 AFY.
Finally, in times of drought, Nacimiento water can be used to augment surface water
supplies and improve water supply reliability. Similar to the operation of the recovery well,
Nacimiento water can be turned into the Salinas River channel adjacent to the City’s river
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wells. This allows the river wells to operate when native supplies are low. Lake Nacimiento
water is a reliable and stable source of water, as jurisdictions in San Luis Obispo County have
a contractual first priority to 17,500 AFY of the reservoir yield, which has averaged 191,000
AFY between 1959 and 2015. Modeling of the Nacimiento project indicates that even during
historical drought periods, the total annual entitlement to San Luis Obispo County can be
delivered (Boyle, 2002, and Paso Robles, 2014b). This drought resilience has been
demonstrated during recent dry years as the project has and continues to satisfy most
delivery requests from project participants. While the NWP water is a reliable source of
supply, there have been interruptions in its transmission from Lake Nacimiento. These
pipeline problems are resolved as quickly as possible so that transmission can continue.
• Recycled Water–The City’s wastewater treatment plant is producing disinfected tertiary 2.2
quality recycled water that will be distributed via the recycled water distribution system in
the future. The recycled water distribution system will deliver recycled water to the east
side of the City for golf course, park, and vineyard irrigation. Surplus water may be
discharged to Huerhuero Creek, which could benefit the groundwater basin. Empirical data
will be collected once the project is operational.
The recycled water amounts shown in Table 8 of this report are the amounts that the City
projects will offset potable water demand. These amounts are based on the City’s 2020
UWMP but have been updated to account for changes in the timeline for completion of the
recycled water distribution project resulting from recent changes in agricultural demands
for recycled water. Additional recycled water that is not needed within City boundaries will
be available for use outside City boundaries. Such uses could include agricultural and
vineyard irrigation and groundwater recharge. Agricultural and vineyard irrigation uses
provide opportunities to maximize recycled water use while minimizing costs associated
with transmission and distribution, and reducing groundwater pumping from the
groundwater basin for irrigation purposes. Recycled Water is discussed further in the
‘Recycled Water Division’ of this report.
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Table 9: City of Paso Robles Water Supply Summary35
Supply Entitlements Supply Available (AFY)*
Salinas Surface Water 4,600
Nacimiento Water 6,48836
Basin Groundwater No Limit
* The City has no limit on Basin Groundwater extractions.
Constraints on Water Supply
The UWMP includes a water service reliability assessment that elaborates on any existing City water
supply constraints. Overall, the City has a diverse water supply portfolio that increases overall City
water supply reliability. However, various factors have the potential to affect the City’s water supply,
including legal, environmental, water quality, and climatic factors, or a combination thereof. Use of
Nacimiento water by Paso Robles increases supply reliability. In addition, the City has developed
policies that regulate non-City wells within City limits. These policies outline permit requirements for
the development and use of private wells within City boundaries, establish policies for recycled water
use, and extend the City’s Water Shortage Contingency Plan to these private wells.
In addition, the UWMP requires tabulation of available water supply volumes in normal (average),
single dry, and multiple dry years in five-year increments over a period of at least 20 years. In addition,
the City has prepared a Drought Risk Assessment (DRA) to assess the City’s ability to supply water to
meet demands during a five-year consecutive drought, assuming it occurs in the next five years. The
DRA is based on supply conditions during five consecutive dry years, taking into account other
considerations such as climate change, regulations, and other factors. The City’s DRA determined that
the City will have enough supply to meet demands if a five-year drought were to occur over the next
five years.
The UWMP concluded that there are several factors that enhance the City’s resilience to drought
conditions. These include the use of Nacimiento water to supplement the City’s groundwater and
Salinas River supplies, permanent prohibitions on water waste, a proven WSCP, ongoing conservation
35 Table 6-8 in the City of Paso Robels Urban Water Management Plan, July 2021, and City of Paso Robels Water,
Informational Presentation, Resident Academy, September 2024
36 6,488 AFY, is raw water and would require significant investment to construct new water treatment facilities for
expanded use.
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activities, and future use of recycled water. The City’s water system and infrastructure also provide
reliability. For example, City wells (river and basin) are dispersed throughout the service area,
protecting against a single catastrophe (such as a groundwater contamination), and thus disruption of
more than four of the City’s 19 wells is unlikely. The West and East Zones of the City water system are
linked so that water can be conveyed from one zone to another, as needed.
Existing & Future Water Demand
Current water demand is provided below by the water use sector and projected to 2045 in five-year
increments. City buildout is projected to occur by 2050 or later. Table 10 summarizes current and
projected water use by the water sector. Table 11 summarizes projected population and water
demands to 2050 and water supplies projected to be used to meet those demands.
Table 10: City of Paso Robles Current and Projected Water Use37
Buildout
Water Use (AFY) 2020 2025 2030 2035 2040 2045
(2050 or later)
Single Family 2,727 2,820 2,914 3,007 3,100 3,194 3,287
Multi-Family 638 807 932 1,056 1,181 1,305 1,430
Commercial 580 673 766 859 952 1,044 1,137
Industrial 508 646 784 923 1,061 1,199 1,337
Institutional/Governmental 288 324 359 395 431 467 503
Parks, Landscape Irrigation 690 737 784 831 878 925 972
Other 39 53 68 82 97 111 126
Non-Revenue Water 275 455 495 536 577 618 659
Total Water Use 5,745 6,515 7,102 7,689 8,277 8,863 9,451
37 Table 4 and 5 in the City of Paso Robels Urban Water Management Plan, July 2021
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Table 11: City of Paso Robles Water Supply Sources to Meet Demands38
Buildout
2020 2025 2030 2035 2040 2045
(2050 or later)
Population 31,221 34,400 37,700 39,900 41,900 42,800 44,000
Water Demand (AFY) 5,745 6,515 7,102 7,689 8,277 8,863 9,451
Water Supply Sources to Meet Demands (AFY)
Basin Wells 654 2,126 2,333 2,550 2,378 1,797 2,127
River Wells 3,609 3,000 3,200 3,500 4,200 4,400 4,558
Nacimiento Water from
968 1,120 1,120 1,120 1,120 2,017 2,017
Water Treatment Plant
Nacimiento Water from
214 269 269 269 269 269 269
the Recovery Well
Recycled Water for
0 0 180 250 310 380 450
Potable Offset39
Total Supply 5,745 6,515 7,102 7,689 8,277 8,863 9,451
Other Water Providers in the Area
A number of small water systems or privately-owned water companies provide water services to
residents in areas surrounding the City. These entities are not subject to LAFCO authority; however,
LAFCO does have the ability to request information from small water systems and Mutual Water
Companies (MWCs) under Government Code Section 56430 (d). MWCs and private water systems are
regulated by California’s Water Code, Health and Safety Code, and must abide by open meeting and
records disclosure laws similar to many public water utilities. In operating a public water system, MWCs
are also subject to regulation by the California Department of Public Health and must comply with
requirements imposed by the State Water Resources Control Board (SWRCB) and our local Regional
Water Quality Control Board (RWQCB). In recent years, the SWRCB and RWQCB have been pushing for
MWC and/or private system consolidations throughout the State and within SLO County.
38 Table ES-1 in the City of Paso Robels Urban Water Management Plan, July 2021
39 Derived from DWR Table 6-4 following text. This table only shows potable offset of recycled water use. Additional recycled
water use will offset private groundwater pumping within the City and outside the City boundaries.
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LAFCO has identified small water systems and mutual water companies that are contiguous to the City.
In addition to the City’s Utility Department (Water Division), six other private water purveyors and
Water Mutual Companies provide water services to neighboring area residents, as seen in Table 12 and
Figure 8, with a small portion of Walnut Hills Mutual Water Company overlapping with the southern
end of the City’s service area boundary. Table 12 provides the Safe and Affordable Funding for Equity
and Resilience (SAFER) Status as designated by the California State Water Resources Control Board for
each of the water providers. The overarching goal of the SAFER Program is to help struggling water
systems establish short- and long-term solutions so that Californians who lack safe, adequate, and
affordable drinking water receive it as quickly as possible. LAFCO’s goal is to daylight the location and
status of the neighboring water providers to help establish a baseline of information, should these
water providers seek consolidation in the future. LAFCO staff recommended that all contiguous
“Failing” and “At-Risk” systems be analyzed further in the SOI Study. Of the six neighboring water
providers, only two met these qualifications: the Almira Water Association and the Mustang Springs
Mutual Water Company. Mustang Springs Mutual Water Company is already within the City’s existing
SOI; therefore, the Almira Water Association was the only entity that was added to the SOI Study.
However, the City of Paso Robles has informed LAFCO that the City cannot serve this area for a variety
of reasons, including but not limited to potential negative fiscal impacts, existing infrastructure not
meeting City standards, the use of General Fund resources to subsidize development, and reluctance
to assume liabilities considered to be the County’s responsibility, as seen in Exhibit B. Further, the City
is of the position that because these areas were originally permitted and are currently within the
County’s unincorporated land use authority, parties should engage further with the County on these
matters.
Currently, the SWRCB is the primary entity identifying potential consolidation projects and initiating
conversations with a particular focus on “failing systems” with pressing health and safety concerns and
those at-risk of failing. LAFCOs do not have authority over private water systems and therefore cannot
initiate consolidation among them. Should the SWRCB or the local RWQCB identify a role for LAFCO in
pursuing consolidation of any of the private water systems with jurisdictions under LAFCO's purview,
the SWRCB should notify LAFCO and begin early coordination on priorities and limitations at both levels
to help prevent inconsistencies that could lead to conflict or delay.
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Table 12: City of Paso Robles Neighboring Water Providers
Water Providers SAFER Status40
Almira Water Association At-Risk
City of Paso Robles Water Division Not-At-Risk
Gran Cielo Mutual Water Company Potentially At-Risk
Mustang Springs Mutual Water Company At-Risk
Spanish Lakes Mutual Water Company Not At-Risk
Templeton Community Services District - Water Not At-Risk
Walnut Hills Mutual Water Company Not At-Risk
40 SAFER Status data accessed July 2025. The SAFER Dashboard displays the current list of Failing water systems and the
results of the Risk Assessment for public water systems. The criteria used to determine At-Risk, Potentially At-Risk, and
Not At-Risk water systems is detailed in Appendix A of the annual Drinking Water Needs Assessment report.
Drinking Water Needs Assessment:
https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/documents/needs/2024/2024-needs-
assessment.pdf
Failing Criteria: https://www.waterboards.ca.gov/water_issues/programs/hr2w/docs/hr2w_expanded_criteria.pdf
SAFER Dashboard: https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/saferdashboard.html
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Figure 8: City of Paso Robles Neighboring Water Providers
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Wastewater Division
The City of Paso Robles Wastewater Division is responsible for protecting public health and the
environment in the most cost-effective manner possible. The Wastewater Division owns and operates
126 miles of sewers and 13 lift stations to collect wastewater from all of Paso Robles and transport it
to a wastewater treatment plant at the north end of town, near the Salinas River. Under the Statewide
General Waste Discharge Requirements (WDR) for Sanitary Sewer Systems, agencies must
electronically report Sanitary Sewer Overflows to the State Water Resources Control Board and
develop a Sewer System Management Plan (SSMP) which describes how each agency operates,
maintains, and evaluates its sewer system. The City’s SSMP was originally approved in October 2009,
with administrative updates and recertification completed in 2015 and July 2022. The City currently
implements a variety of programs that meet the WDR objectives and are consistent with the specific
requirements of the SSMP.
Wastewater Treatment Plant
The Paso Robles Wastewater Treatment Plant (WWTP) is located at 3200 Sulphur Springs Road in Paso
Robles. The WWTP service area currently coincides with the City boundaries. The City’s WWTP
previously treated wastewater from the northern portions of the Templeton Community Services
District (TCSD), but by 2019, TCSD completed construction of a new sewer infrastructure to convey
these flows to the Templeton wastewater treatment plant. The TCSD wastewater previously accounted
for about nine percent of the wastewater entering the City’s WWTP.
The WWTP was first built in 1954 and was expanded and upgraded with additional clarifiers and rock
trickling filters in 1972. In the mid-1980s, the WWTP was expanded to include additional trickling filter
and clarifier capacity and chlorination facilities. In 2016, the City completed a comprehensive upgrade
to comply with updated State Water Resources Control Board (SWRCB) discharge requirements. The
City completed a major upgrade of its Wastewater Treatment Plant to a Biological Nutrient Removal
process. This new treatment process effectively removes all harmful pollutants from the wastewater
and is highly energy efficient. The upgrade project included:
• New Headworks
• Rehabilitation of Primary Clarifiers
• New Pump Station
• Replacement of Trickling Filters with the Biological Nutrient Removal Process
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• New Secondary Clarifiers
• Chloramination Disinfection Process
• System That Generates Power and Heat from Biogas Generated by Digestion of Sludge.
• New Operations Building with Laboratory
The City prepares a WWTP Annual Report that provides a summary of the overall plant operation and
performance for each calendar year, the latest being in 2024. The report contains summaries of plant
operations and performance, maintenance, laboratory, chemicals, utilities, and staffing. In addition, as
was previously mentioned in the “Recycled Water Division” Section, the City has a master plan to
produce tertiary-quality recycled water and distribute it to East Paso Robles, where it may be safely
used for irrigation of City parks, golf courses, and vineyards. The State Water Resources Control Board
reclassified the City of Paso Robles WWTP as a Class IV Tertiary Treatment wastewater treatment
facility on July 25, 2019. On July 1st, 2021, the Paso Robles Wastewater Treatment Plant was issued a
new discharge permit by the Central Coast Regional Water Quality Control Board (RWQCB). The new
discharge permit, Order No. R3-2021-0001 conditionally authorizes the Paso Robles WWTP to act as a
producer of recycled water under the State Water Resources Control Board's Title 22 Code of
Regulations for recycled water. Please refer to the “Recycled Water Division” Section for more
information.
In addition, the City hired a consultant, Water Systems Consulting, to complete its latest Wastewater
Collection System Master Plan. The 2019 Wastewater Collection System Renewal Strategy and Master
Plan is based on the most up-to-date assessment of the condition of current assets, current flows, and
projections for future residential and commercial/industrial development in the City. The Plan
concluded that most of the City’s collection system gravity mains are expected to reach the end of their
useful life between 2050 and 2080. Individual projects to address aging force mains are included within
the proposed capital improvement plan, while gravity main replacement and rehabilitation have been
addressed via a recommended phased renewal strategy. The Master Plan’s renewal strategy will help
the City to replace or rehabilitate old and failing sections of the sewer system at the appropriate time
and ensure the sewer system continues to perform in a way that protects public health and the
environment.
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Existing and Future Wastewater Capacity
In 2024, the Paso Robles WWTP operated with an average daily influent flow of 2.07 million gallons per
day (MGD) and a maximum daily influent flow of 2.94 MGD. These values are well below the plant’s
design capacity of 4.9 MGD for the average day and 9.7 MGD for the peak day. This demonstrates that
the plant operated well within its capacity throughout the year and was successful in managing and
treating varying wastewater volumes.
Table 13: City of Paso Robles Existing Flow Estimates41
Plant Design Capacity
Description Existing (MGD)
(MGD)
Average Daily Influent Flow 2.07 4.9
Maximum Daily Influent Flow 2.94 9.7
The 2019 Wastewater Collection System Renewal Strategy and Master Plan included system-wide
average annual flow, peak hour dry weather flow, and peak hour wet weather flow estimates for
existing conditions, the 5-year, 10-year, and buildout planning horizons, as seen in Table 14. Projected
flow projections include known anticipated developments within the City Limits and implementation
of phased capital improvement projects addressed within the Renewal Strategy and Master Plan.
Table 14: City of Paso Robles Projected Flow Estimates42
10-year
5-year Lookout Buildout
Description Existing43 Lookout
(MGD) (MGD)
(MGD) (MGD)
Average Annual Flow 2.27 2.54 2.86 3.69
Peak Hour Dry Weather
4.54 5.08 5.72 7.38
Flow
Peak Hour Wet Weather
8.22 9.19 10.35 13.36
Flow
41 City of El Paso de Robles Wastewater Treatment Plant 2024 Annual Report, Jan 2025
42 Table 1-1 of the City of Paso Robels Wastewater Collection System Renewal Strategy and Master Plan, 2019
43 The term ‘existing’ pertains to flow estimates recorded in 2019.
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Utilities Planning and Engineering Division
The Utilities Planning and Engineering Division is responsible for ensuring that the City’s water,
wastewater, and recycled water systems are planned, designed, and constructed to meet current and
future community needs. The division provides technical oversight, long-range utility planning, and
engineering services that support the safe, reliable, and cost-effective delivery of utility services. Key
functions include:
• Planning, budgeting, and overseeing the design of major utilities capital improvement projects
• Coordination with the City’s Community Development Department and City Engineer to ensure
proposed development projects comply with applicable master planning and to address special
improvements proposed by development projects,
• Managing updates and maintenance for the City’s water distribution system model and sewer
collection system model, and analyses that inform capital improvement projects and
infrastructure needs, including those required to support development.
• Establishing and managing updates to technical standards, design criteria, and specifications to
ensure consistency, efficiency, and compliance with regulatory requirements
• Providing technical assistance to utility managers and operations staff for troubleshooting,
regulatory functions, system optimization, and infrastructure renewal
Through fulfillment of these responsibilities, the Utilities Planning and Engineering Division plays a
critical role in protecting public health, supporting sustainable growth, and ensuring that the City’s
utility systems remain resilient and adaptable to future demands.
Solid Waste Division
The City has a Franchise Agreement with Paso Robles Waste Disposal, Inc. to provide solid waste
services within the City, and Pacific Waste Services operates the City-owned landfill. The current
agreement, which includes amendments, commenced in January 2022 and expires on December 21,
2032, with the option to renew at any time prior to the end of the term of the agreement. The
agreement allows Paso Robles Waste Disposal, Inc. to include the furnishing of all labor, supervision,
equipment, materials, supplies, and all other items necessary to perform the services (refuse collection,
disposal, and recycling activities). The City reserves the right to revise its laws and regulations
pertaining to solid waste collection and disposal in order to protect public health, safety, and welfare.
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Funding for solid waste collection and disposal activities comes primarily from fees charged to
residents. The area being served with solid waste service is consistent with the boundaries of the City.
Shared Services and Facilities
There are ongoing opportunities for collaboration between agencies to enhance service delivery within
the City’s boundaries. The City coordinates efforts with the County, neighboring special districts, State,
and/or other entities to deliver services efficiently and avoid duplication. At this time, the roles and
responsibilities of the City are clearly defined within the service area. However, in some cases, it may
be possible to establish a cooperative approach to facility planning by encouraging the City, County,
District, and State to work cooperatively in such efforts. Looking forward, there are several areas where
continued coordination and shared use of facilities could benefit the community, including:
• CAL Fire/SLO County Fire and all neighboring fire agencies through reciprocal Automatic and
Mutual Aid Agreements
• State and Regional Water Quality Control Board regarding potable water and wastewater
discharge, and opportunities for private systems consolidations
• California Department of Fish and Game to protect wildlife and environmental resources;
• County of SLO Public Libraries regarding possible shared use of facilities
• CalTrans
Joint Powers Authorities
The City works cooperatively with and is a member of several Joint Power Authorities (JPAs), as
shown in Table 15.
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Table 15: City of Paso Robles Joint Power Authority
Name of JPA Major Service Function
Black Gold Cooperative Library System Shared library resources throughout the Central
Coast, including San Luis Obispo, Santa Barbara,
and Ventura Counties.
California Joint Powers Insurance Authority Workers’ Compensation Coverage
Central Coast Community Energy Power Supplies
Integrated Waste Management Authority Waste Management
San Luis Obispo Regional Transit Authority Public Transportation Services
San Luis Obispo Council of Governments Regional Transportation Services: County-wide
public transportation system
San Luis Obispo Air Pollution Control District Implementation of Air pollution regulations and
programs
Paso Robles Area Groundwater Authority To serve as the groundwater authority within
(Groundwater Sustainability) their combined service area within the Paso
Robles Area Groundwater Subbasin
Finance
LAFCO is required to make a determination regarding the financial ability of the City to provide public
services. This section provides a general overview of the City’s financial health and establishes the
context for LAFCO’s financial determinations. LAFCO uses three financial indicators to help evaluate
the agencies’ general health: an assessment of Revenues & Expenditures (Operating Ratio), Assets and
Liabilities (Liquidity Ratio), and Net Position. The primary source of information for this evaluation was
the City’s audited Financial Statement Reports from Fiscal Years (FY) 2019-2020 through FY 2023-2024
and the Operating and Capital Budget Report for FY 2024-25 & 2025-26.
Operating Budget
The operating budget is prepared by the City, with operating expenditures and revenues being
balanced over the term of the ten-year financial plan. The City typically adopts a two-year budget,
except in special situations (as in the case of the COVID-19 pandemic), which may call for a one-year
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budget. The City posts its current and previously adopted budgets on its website. City staff conduct
quarterly budget reports, in accordance with the City Council’s adopted fiscal policies, that provide
their Council with frequent reporting on its financial performance; these documents are also available
on the City’s website. Moreover, the City also offers an online fiscal transparency tool (Open Finance),
which allows users to navigate through revenue collected and revenue utilized data. The Open Finance
tool is updated at the end of each business week and includes prior fiscal years of data for comparative
purposes. It includes information on expenditures, revenue sources, vendor payments, and payroll
records, and can be found using the following link: https://prcity-of.finance.socrata.com.
The City Council commissioned an examination of all discretionary City services to itemize their true
cost and, in June 2024, approved the FY 2024-25 Comprehensive Fee Schedule for City Services. Fees
become effective July 1st of each year.
Audited Financial Statements
The City hires an outside accounting firm to perform annual audits in accordance with established
governmental accounting standards. This includes auditing the City’s financial statements with respect
to verifying overall assets, liabilities, and net position. These audited statements provide quantitative
measurements in assessing the City’s short and long-term fiscal health with a specific focus on
delivering its active service functions. LAFCO used the five most recent audited financial statements to
conduct its evaluation of the City’s Financial Health, separated into four categories (Revenues and
Expenditures, Agency Assets, Agency Liabilities, and Agency Net Position).
Revenues and Expenditures
The City is primarily funded through charges for services, property taxes, sales & use taxes, grants and
contributions, and other taxes such as transient occupancy taxes and Community Facilities Districts. As
shown in Figure 9 below, the City has experienced an increase in revenue every year from FY 2019-
2020 to FY 2023-2024. This is mainly because the City continues to heavily invest in infrastructure and
other capital assets, where funds will be expended as infrastructure projects advance. The City’s
expenditures have also experienced an overall increase in the last five audited fiscal years. In FY 2023-
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2024, expenses for Governmental Activities44 reached $63,009,058, while Business-Type Activities45
totaled $27,319,363. The City’s total revenue during the latest audited FY 2023-2024 period was $130.4
million, and expenses were $90.3 million. When analyzing the previous five-year audited period, it was
found that the City experienced an annual surplus where revenues consistently exceeded expenditures,
as depicted in Figure 9.
Figure 9: Actual Revenues vs. Actual Expenditures (FY 2019-20 to FY 2023-24)46
Revenues vs. Expenditures
$140,000,000 $130,408,196
$114,445,390 $113,728,226
$120,000,000
$100,000,000 $84,560,147 $86,830,558
$80,000,000
$60,000,000
$89,422,817 $90,328,421
$40,000,000
$73,803,207 $73,664,996 $69,246,711
$20,000,000
$0
FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24
Total Revenues Total Expenditures
To assess the City’s ability to meet its financial obligations, Figure 10 displays the Operating Ratio for
the past five audited fiscal years. This ratio—calculated as annual operating expenses divided by annual
operating revenues—serves as a basic indicator of financial performance:
• A ratio below 1.0 indicates the agency is operating at a surplus
• A ratio above 1.0 indicates the agency is operating at a deficit
Throughout this period, the ratio has remained below 1.0, indicating that the City’s operating revenues
have consistently exceeded operating expenses. This suggests stable financial performance with
positive operating margins.
44 Governmental Activities - Most of the City’s basic services are reported in this category, including general government,
public safety, highways and streets, sanitation, health and welfare, culture and recreation, urban redevelopment and
housing, and economic development and assistance. Taxes and state and federal grants finance most of these activities.
45 Business-type Activities - The City charges a fee to customers to cover all or most of the cost of certain services it provides.
These activities include the City’s water system, wastewater system, airport, transit operations, and parking operations.
46 City’s Financial Statements between FY 2019-20 to FY 2023-24
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Figure 10: Operating Ratio (FY 2019-20 to FY 2023-24)
Operating Ratio
FY 23-24 0.69
FY 22-23 0.79
FY 21-22 0.61
FY 20-21 0.85
FY 19-20 0.87
0.00 0.20 0.40 0.60 0.80 1.00
Assets and Liabilities
An agency’s assets provide current, future, or potential economic benefit for the entity. An agency
asset is therefore something that is owned by the agency or something that is owed to the agency. In
this section, agency assets will be reviewed in two separate categories as defined below:
• Current Assets: Cash and other assets that are expected to be converted to cash within a year.
• Non-Current Assets: Long-term investments that are not expected to become cash within an
accounting year.
The City’s audited assets at the end of FY 2023-2024 totaled $577 million and are 14 percent higher
than the average year-end amount of $506 million documented during the previous five-year audited
period. Assets classified as current, with the expectation they could be liquidated within a year,
represented 31 percent of the total amount, or $177 million, and are primarily tied to cash and
investments. Assets classified as non-current make up the remainder of the total, at $399 million, and
are primarily attributed to net depreciable capital assets (which includes accumulated depreciation of
building & improvements, equipment, and infrastructure). Overall, the City’s assets have increased by
30 percent over the corresponding 5-year audited period.
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In addition to assets, the City’s net position also considers deferred outflows of resources.47 The City
has two items that qualify for reporting in this category those are 1) Deferred Pensions and 2) Deferred
Other Post-Employment Benefits (OPEB). A total of $19.676 million was reported in FY 2023-2024 as
deferred outflows of resources and will be recognized as a reduction of the net pension liability in a
future reporting period.
Furthermore, to address unanticipated emergency and contingency needs, and to secure the continued
financial well-being of the City, the City Council has established fiscal policies where unrestricted
General Fund reserves shall be maintained at no less than 30 percent of the actual 10-year revenue
trend. For the Water and Wastewater Funds, reserves shall be maintained at 25 percent of operating
expenditure, plus an additional $1.0 million. General Fund reserves were approximately $25.6 million
at the end of FY 2023-2024, which exceeds the City’s Fiscal Policy goal of 30 percent of revenues. The
City also has additional reserves in its Section 115 Pension Trust Fund (approximately $10.5 million—
although net pension liability far exceeds this amount, but these are available dollars to offset future
pension costs), and the Measure J-20 Fund48 (approximately $20.6 million). Based on the latest
Financial Statement, the City continues to maintain healthy reserves, well over the minimally required
amounts, and has the flexibility to continue to fund critical services should the economy recess.
47 A deferred outflow of resources is defined as a consumption of net position by the government that is applicable to a
future reporting period.
48 In 2020, the voters of Paso Robles approved Measure J-20, a one-cent supplemental sales tax. Like Measure E-12,
Measure J-20 is a general tax with the main priorities towards fire and emergency services, police services, and street
repair and maintenance, as approved by City Council in Resolution 20-118.
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Table 16: Audited Assets and Deferred Outflow
5-yr % 5-yr
Category FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24
Change Average
Current Assets 105,082,097 106,313,042 132,959,348 148,228,391 177,581,060 69% 134,032,788
Non-Current
340,422,227 350,802,218 382,473,320 390,926,091 399,642,945 17% 372,853,360
Assets
Total Assets 445,504,324 457,115,260 515,432,668 539,154,482 577,224,005 30% 506,886,148
Deferred Loss on
456,607 391,376 326,145 260,914 195,683 -57% 326,145
Refunding Bonds
Deferred OPEB 2,117,563 2,126,252 311,367 14,619 259,968 -88% 965,954
Deferred
10,061,455 7,497,870 11,336,011 16,972,733 19,220,492 91% 13,017,712
Pensions
Total Deferred
Outflow of 12,635,625 10,015,498 11,973,523 17,248,266 19,676,143 56% 14,309,811
Resources
An agency’s liability is something the agency owes, usually a sum of money. Liabilities are settled over
time through the transfer of economic benefits, including money, goods, or services. In this section,
agency liabilities will be reviewed in two separate categories as defined below:
• Current Liabilities: Short-term financial obligations due to be paid within a year.
• Other Non-Current Liabilities: Long-term financial obligations that are due more than a year
away.
The City’s audited liabilities at the end of FY 2023-2024 totaled $141.920 million and were 3 percent
higher than the average year-end amount of $137.976 million documented during the previous five-
year audited period. Liabilities classified as current, and representing obligations owed in the near-
term, account for 17 percent, or $24.006 million, of the total. Non-current liabilities represent the
remaining total, at $117.913 million, and are largely tied to payments on liabilities due after one year.
Overall liabilities have decreased by 1 percent over the corresponding 5-year audited period.
In addition to liabilities, the City’s net position also considers deferred inflows of resources. A deferred
inflow of resources is defined as an acquisition of net position by the City that is applicable to a future
reporting period. The City has three items that qualify for reporting in this category: 1) Deferred Leases,
2) Deferred OPEB, and 3) Deferred Pensions. A total of $21.736 million was reported as deferred inflows
of resources in FY 2023-2024 and will be recognized as an acquisition of the net position in a future
reporting period.
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Table 17: Audited Liabilities and Deferred Inflow
5-yr %
Category FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24 5-yr Average
Change
Current
7,716,514 8,482,529 22,344,173 21,722,937 24,006,714 211% 16,854,573
liabilities
Non-Current
136,363,971 131,812,514 102,396,675 117,120,688 117,913,394 -14% 121,121,448
Liabilities
Total
144,080,485 140,295,043 124,740,848 138,843,625 141,920,108 -1% 137,976,022
Liabilities
Deferred
- - 17,499,811 16,383,551 -12% 17,492,671
Leases 18,594,650
Deferred
598,333 1,934,304 1,205,571 3,377,415 4,036,086 575% 2,230,342
OPEB
Deferred
2,626,229 900,947 1 3 ,665,979 3 , 518,333 1,317,064 -50% 4,405,710
Pensions
Total
Deferred
3,224,562 2,835,251 33,466,200 24,395,559 21,736,701 574% 17,131,655
Inflow of
Resources
Figure 11 illustrates the City’s Liquidity Ratios from FY 2019-20 through FY 2023-24. This ratio measures
the City’s ability to meet its short-term financial obligations by comparing unrestricted current assets
to current liabilities.
• A ratio above 1.0 indicates that the City has sufficient short-term resources to cover its
liabilities, reflecting strong financial health.
• A ratio below 1.0 signals potential liquidity concerns, suggesting short-term resources may be
insufficient to meet immediate obligations.
Generally, the higher the ratio, the greater the City’s short-term financial stability. Over the five-year
period shown in Figure 11, the City’s liquidity ratio has consistently remained above 1.0, demonstrating
a stable ability to meet short-term obligations.
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Figure 11 Liquidity Ratio (FY 2018-19 to FY 2022-23)
Liquidity Ratio
FY 23-24 7.4
FY 22-23 6.8
FY 21-22 6.0
FY 20-21 12.5
FY 19-20 13.6
0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0
Net Position
An agency’s net position serves as a key indicator in representing an agency’s overall financial health
and is defined as the difference between total assets plus deferred outflows of resources and liabilities
plus deferred inflows of resources.
• A positive net position indicates that the City possesses more assets than liabilities, reflecting
fiscal health
• A negative net position may suggest fiscal distress or an inability to meet long-term obligations
Net position should be displayed in three categories, which focus on the accessibility of the underlying
assets:
• Net investment in capital assets: Represents capital assets, net of accumulated depreciation,
reduced by the outstanding principal of the related debt used to acquire those assets
• Restricted Net Position: Includes the portion of net position that has external constraints placed
on it by creditors, grantors, contributors, laws, or regulations of other governments, or through
constitutional provisions or enabling legislation
• Unrestricted Net Position: Consists of resources that do not meet the criteria for the other two
categories (net investment in capital assets or restricted net position) and may be used for
general operations.
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The City’s audited net position or equity at the end of FY 2023-2024 totaled $433.243 million and
represents the difference between the City’s total assets and total liabilities, along with adjusting for
deferred resources (i.e., leases, OPEB, and pension outflows & inflows). The most recent year-end
amount is 18 percent higher than the average year-end sum of $366.088 million documented during
the previous 5-year audited period. A portion of the net position, 73 percent, reflects its ending net
investment in capital assets (e.g., land and equipment), with the remainder categorized as restricted
and unrestricted. Overall, the City’s net position has increased by 39 percent through the
corresponding 5-year audited period.
Table 18: Audited Net Position
5-yr % 5-yr
Category FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24
Change Average
Net
Investment in 261,555,970 277,951,919 289,113,860 302,202,248 315,808,804 21% 289,326,560
Capital Assets
Restricted 28,864,344 3 8,618,959 34,048,387 3 4 , 815,794 43,178,333 50% 35,905,163
Unrestricted 20,414,588 7,429,586 46,036,896.00 56,145,522.00 74,256,202.00 264% 40,856,559
Total Net
310,834,902 324,000,464 369,199,143 393,163,564 433,243,339 39% 366,088,282
Position
Sphere of Influence
Existing & Proposed SOI
The City’s existing SOI is approximately 1,971 acres beyond the City limits and includes nine general
areas. This section analyzes the nine areas already within the SOI and considers the inclusion of four
additional study areas. Two of the four new study areas were recommended by the City, and the
remaining two were included in the study as recommended by LAFCO staff due to interest from the
landowners and/or the Regional Water Quality Control Board. The following SOI study helps analyze
and identify which properties should remain/ be included and which should be excluded from the SOI.
The map on the following page shows the City’s existing SOI and the additional areas being considered.
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Figure 12: City of Paso Robles Recommended SOI Study Areas49
City staff provided input on the nine existing study areas and requested that two new areas be
analyzed, as seen in Figure 12 above. Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular
City Council meeting staff report that provides more information relating to opportunities and
constraints for each SOI Study area and the City’s preferred outcome. City Resolution No. 24-073
directed City staff to forward several recommended SOI changes to LAFCO. In summary, the City
solicited feedback from all of its departments by using a color ranking system for each of the nine
factors listed below:
• Fire Hazard
• Environmental Sensitivity
• Emergency Access
• Economic Development Potential
• Water Service
• Affordable Housing Potential
• Sewer Service
• Financial Impact on the City of Paso Robles
• Roads and Transportation
49 Exhibit A of Resolution 24-073 | City of Paso Robles Council Agenda, June 4, 2024
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The City provided additional feedback for the two SOI study areas that were later added by LAFCO staff.
Table 19 below outlines the City’s and LAFCO’s SOI recommendations. Each of the SOI study areas is
described in more detail on the following pages and includes an individualized map with
recommendations made by LAFCO staff. The discussion addresses the size, location of the area, current
zoning, and other relevant information. All but one SOI area is within the City of Paso Robles Planning
Impact Area as identified under the Land Use Element of the City’s General Plan and as seen in Figure
4 in the “Present and Planned Land Use” section of this report.
This SOI Study is consistent with LAFCO’s policies and the purposes of LAFCO. LAFCO’s policies
encourage and provide for well-ordered, efficient urban development patterns, balanced with
preserving open space and agricultural land while discouraging urban sprawl. The SOI discourages
urban sprawl and encourages the preservation of open space and agricultural land. If the SOI
recommendations are approved by the Commission, the City and County shall update the City and
County General Plan to accurately reflect the new SOI, as applicable.
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Table 19: Recommended SOI Changes
SOI
City’s SOI LAFCO SOI
Study Description/ Location Status
Request50 Recommendation
Areas
1 Mill Road Existing Remain Remain
2 East Chandler Ranch Area Existing Remove Remove
SW corner of Charolais / S River
3 Existing Remove Remove
Road (Oak Lane)
4 South Ramada Drive Existing Remain Remain
5 Bailey Drive Existing Remove Remove
6 W 19th Street Existing Remove Remove
Nacimiento Lake Drive /
7 Existing Remove Remove
Mustang Springs Road
8 North Vine Street Existing Remove Remove
Wisteria Lane west of Golden
9 New Include Include
Hill Road
Buena Vista Drive west of
10 New Include Exclude
Airport Road
11 Union Rd near the Landfill Existing Remain Remain
12 Rancho Paso Mobile Home Park New Exclude Exclude
13 Almira Water Association New Exclude Exclude
50 Exhibit A and B attached to the City MSR & SOI Study
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SOI Study Area No. 1 | Mill Road | Recommending it Remain
Figure 13: City of Paso Robles Study Area 1
Description: The Mill Road area covers a 210± acre area adjacent to Paso Robles' eastern boundary,
just south of Vina Robles and Hunter Ranch Golf Course. This area includes vineyards, a winery/events
center, and some vacant land under the "Agriculture" County land use designation. Some of the
developments in the area consist of the Robert Hall Winery, a vineyard, and several homes on larger
parcels (which rely on an onsite septic system for wastewater and a private well for water service). The
Collins Vineyard is an 80-acre vineyard also located in Study Area 1 and has been within the City’s SOI
since it was added during the 2013 MSR/SOI update. Study Area No. 1 does not contain property under
a Williamson Act Contract; however, portions of this Study Area do contain prime agricultural land as
defined in Government Code Section 56064. It is estimated that approximately 77 percent of this Study
Area is considered prime. The City does not currently provide any services to this area.
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According to the City and County 2012 Memorandum of Agreement, this type of development at the
outer edges of the City boundary is consistent with Paso Robles’ Purple Belt Program51, because it acts
as a transition area to the more rural area. The intent is for the area between the potential road to
remain in agriculture and rural residential use, and visitor-serving agriculturally related commercial
use, consistent with the Purple Belt Program and the existing land use of the property. The City has
indicated that this area is interested in pursuing annexation in the near future.
LAFCO Staff Recommendation: It is recommended that Area 1 remain in the City’s SOI. This
recommendation aligns with the City’s existing General Plan and offers an opportunity for the City to
coordinate with the County in managing existing winery operations. If annexation is pursued in the
future, then the City would be required to demonstrate its ability to effectively serve the area and be
subject to LAFCO proceedings and approval. LAFCO Policies and Procedures prioritize the protection of
prime farmland for agricultural use. Should the City or landowner initiate annexation, LAFCO Policy
2.9.12 may be triggered, requiring a 1:1 mitigation ratio for any conversion of prime agricultural land
to non-agricultural uses.
51 The goal of the Purple Belt is to support and maintain the City’s community character and way of life. If successful, the
Purple Belt will support the continuation of the region’s agriculture and ranching traditions, the scenic beauty and
character of the City and the surrounding areas, and the tourism industry that depends on both of these.
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SOI Study Area No. 2 | East Chandler Ranch Area | Recommending Removal
Figure 14: City of Paso Robles Study Area 2
Description: The East Chandler Ranch area covers a 1,056± acre area adjacent to Paso Robles' eastern
boundary, just south of Vina Robles and Hunter Ranch Golf Course. The area is designated "Agriculture”
under the County land use designation, and the County, as the land use authority, approved a Tract
Map and Conditional Use Permit in 2005 that would allow 42 single-family residences and seven farm
worker housing units while preserving 95 percent of the site for agriculture/open space. Study Area
No. 2 contains approximately 840 acres of property under Williamson Act Contract (Assessor Parcel
Numbers (APN) 020-211-014, 020-211-015, 20-211-016, 020-211-017, 020-211-018, 020-211-019, and
020-211-020). It is estimated that approximately 35 percent of this Study Area is considered prime
agricultural land as defined in Government Code Section 56064. This area has been within the City’s
SOI since it was added during the 2013 MSR and SOI update. The City has determined that annexation
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of this area is unfeasible at this time, due to constraints related to wastewater, water, and road
maintenance services.52 The City does not currently provide any services to this area.
When the property was added to the City’s SOI, it was mentioned that the City’s Purple-Belt Plan
aligned with this type of pattern on the outer edges of the City boundary that would act as a transition
area to the more rural area. The City did not intend to intensify the County-approved AG Cluster project
but rather considered providing urban services to the development through an Outside Agency
Agreement; however, this has not occurred since the property was included in the SOI. The reason the
City explored pursuing an Outside Agency Service Agreement was to enable the City to provide services
to the development. In return, the development would limit groundwater pumping and potentially use
recycled water. However, existing developments receive water from either private onsite wells or Gran
Ciel Mutual Water Company, wastewater service from onsite septic, and fire service from CAL Fire.
Gran Cielo Mutual Water Company is located entirely within Study Area No. 2 and provides potable
water to approximately 42 service connections. The Gran Cielo Mutual Water Company was identified
as a “Potentially At-Risk53” water system based on the State Water Board’s SAFER Status54. The system
has accrued risk points within the Risk Assessment, but not enough to be designated At-Risk. There is
little to no need for city services.
LAFCO Staff Recommendation. It is recommended that Area 2 be removed from the City’s SOI. The area
has been developed as allowed under the County as the land use authority. The City recognized
constraints related to wastewater, water, and road maintenance services.55 The area was originally
included in the SOI to enable the City to provide urban services to the development through an Outside
Agency Agreement in exchange for limiting groundwater pumping and a potential user of recycled
water; however, the Gran Cielo Mutual Water Company was created to serve area residents, and there
is no longer a need for City services.
52 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
53 SAFER Status data accessed July 2025.
54 SAFER Status: a categorization of community water systems and non-transient, non-community schools determined by
the Needs Assessment’s Failing system criteria and Risk Assessment. There are five SAFER Statuses used by the State
Water Board. If a water system’s SAFER Status is currently Failing, its Risk Assessment result will replace its SAFER Status
once the system comes off the Failing list.
55 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
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SOI Study Area No. 3 | SW corner of Charolais / S River Road (Oak Lane) | Recommend Removal
Figure 15: City of Paso Robles Study Area 3
Description: The Southwest corner of Charolais/ South River Road (Oak Lane) area covers 43± acres
adjacent to the Paso Robles southern boundary, east of Highway 101. This area includes 2 to 5-acre
lots with single-family homes on large lots and is designated "Residential Suburban" under the County’s
land use designation. Study Area No. 3 does not contain property under a Williamson Act Contract, nor
does it contain prime agricultural land as defined in Government Code Section 56064. This area has
been within the City’s SOI since the early 1980s. The City has determined that annexation of this area
is unfeasible at this time, due to constraints related to financial resources, wastewater, water, and road
maintenance services.56 The City does not provide any services, nor is there any anticipated need for
city services within this area.
56 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
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LAFCO Staff Recommendation. It is recommended that Area 3 be removed from the City’s SOI. This
area has remained within the SOI for over forty years, yet neither the City nor the property owners has
demonstrated interest in, or taken steps toward, annexation. Given the absence of current or
foreseeable demand for municipal services, continued inclusion in the SOI is unwarranted. The City also
recognized constraints related to the City’s ability to provide wastewater, water, and road maintenance
services. Development in this area receives water from onsite wells, wastewater service from onsite
septic tanks, and fire protection from CalFire. Should the City or the landowners express interest in
having the area attain municipal service from the City in the future, then the area could be reconsidered
for inclusion in the SOI at that time.
SOI Study Area No. 4 | South Ramada Drive | Recommend Partial Removal
Figure 16: City of Paso Robles Study Area 4
Description: The South Ramada Drive area covers 140± acres adjacent to the Paso Robles southern
boundary, just east of Highway 101. This area includes land designated “Commercial Service”,
“Agriculture”, “Public Facilities”, and “Industrial” under the County’s land use designation. This area
consists of existing commercial development, active agricultural, and CAL Fire / County Fire Station 30.
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Approximately 40 acres of property within Study Area No. 4 contains land under Williamson Act
Contract (APNs 040-091-046 and a portion of 040-091-048). This area entered into a Williamson Act
contract on December 8, 2020, by Resolution No. 2020-271. The subject property is devoted to
agricultural uses in order to preserve a maximum amount of agricultural land. It is estimated that
approximately 62 percent of this Study Area is considered prime as defined in Government Code
Section 56064. In alignment with LAFCO’s legislative directive to steer development away from prime
agricultural land and land under Williamson Act Contract, the Commission is prohibited from approving
future annexation of APNs 040-091-046 and 040-091-048 due to their Williamson Act Contract status
in accordance with Government Code Section 56856.5. In addition, LAFCO Policies & Procedures call
for properties with prime farmland to be protected from uses other than agriculture. If the Williamson
Act Contract on this property was set to expire in the future with no intent to renew, and final approval
of the non-renewal has been granted, and if the City or landowners were to wish to pursue annexation
of this territory in the future, it would prompt LAFCO Policy 2.9.12, which requires 1:1 mitigation of
prime land when converted from agricultural use.
This area has been within the City’s SOI since 1997. On January 15, 1998, the Commission approved
Resolution No. 98-2, which removed Study Area No. 4 from the Templeton Community Services District
SOI and added it to the City’s SOI. CAL Fire / County Fire Station 30 is located at 2510 Ramada Dr, within
the southern portion of Study Area 4. The CAL Fire / County Fire Station property (APN 040-143-003)
receives water and wastewater service from TCSD through a Service Agreement, which was established
in 2015. The agreement between the TCSD and CAL Fire was deemed to have met exemptions specified
in Government Code Section 56133(e) and was therefore exempt from LAFCO approval. Additional
parcels located on the southwestern side of Study Area No. 4 (APNs 040-143-004, 040-143-051, and
040-143-050) receive water services from TCSD, and potable water and irrigation services are provided
to all the parcels along Calle Propano (APNs 040-091-049, -050, -051, and -052). TCSD currently serves
a total of 8 parcels in the City’s SOI Area No. 4 outside our District boundaries and SOI. The City does
not provide any services to this area.
LAFCO Staff Recommendation. It is recommended that Area 4 remain in the City’s SOI. This area has
remained within the SOI for about twenty-eight years. Neither the City nor the property owners have
demonstrated interest in, or taken steps toward, annexation; however, the City would like to retain
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this area within the SOI due to its commercial development and as an area for potential growth. Leaving
this area allows the City a better opportunity to collaborate with the County on managing both existing
and future commercial development. If annexation is pursued in the future, then the City would be
required to demonstrate its ability to effectively serve the area and be subject to LAFCO proceedings
and approval.
In addition, the approximately 40 acres of land under the Williamson Act under its existing land use is
consistent with the City’s Purple Belt Program and was identified as a High Priority Area.57 However,
the Commission is prohibited from approving an annexation of land under Williamson Act Contract
status in accordance with Government Code Section 56856.5. If the Williamson Act Contract on this
property was set to expire in the future with no intent to renew, and final approval of the non-renewal
has been granted, then annexation may be pursued. If the City or landowners were to wish to pursue
annexation of this territory in the future, it would prompt LAFCO Policy 2.9.12, which requires 1:1
mitigation of prime land when converted from agricultural use.
APN 040-143-003 is zoned Public Facilities and includes CAL Fire/County Fire Station 30, which is
located within the southern portion of Study Area 4. TCSD provides APN 040-143-003 water and
wastewater service. The properties could continue to receive these services from TCSD, should
annexation into the City be pursued. However, it would be encouraged that the City, TCSD, and CAL
Fire establish a Memorandum of Agreement / Understanding to prevent duplication of services relating
to water, sewer, and fire service, should annexation be pursued. Regarding all the remaining parcels
within SOI Area 4 that are receiving service from TCSD, service responsibility would be transferred to
the City should annexation be pursued.
If by the next MSR & SOI Study cycle, neither the City nor the property owners have demonstrated
interest in, or taken steps toward, annexation, removing these areas from the SOI should be
considered.
57 Figure 1 in the Paso Robles Purple Belt Action Plan, November 2009
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SOI Study Area No. 5 | Bailey Drive | Recommend Removal
Figure 17: City of Paso Robles Study Area 5
Description: The Bailey Drive area covers 27± acres adjacent to the Paso Robles western boundary,
along Bailey Drive. This area includes existing single-family homes on large lots and is designated
“Residential Rural” and “Residential Suburban” under the County’s land use designation. Study Area
No. 5 does not contain property under a Williamson Act Contract, nor does it contain prime agricultural
land as defined in Government Code Section 56064. This area has been within the City’s SOI since the
early 1980s. The City has determined that annexation of this area is unfeasible at this time, due to
constraints related to wastewater, water, fire, and road maintenance services.58 However, the City
provides wastewater service to approximately one59 property in this location through Outside Agency
58 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
59 City Staff Input, October 2025
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Service Agreements60 that are believed to have been established before the year 2000. The City does
not provide any other services.
LAFCO Staff Recommendation. It is recommended that Area 5 be removed from the City’s SOI. This
area has remained within the SOI for over forty years, yet neither the City nor the property owners has
demonstrated interest in, or taken steps toward, annexation. Given the absence of current or
foreseeable demand for municipal services, continued inclusion in the SOI is unwarranted. The City also
recognized constraints related to the City’s ability to provide wastewater, water, fire, and road
maintenance services. Development in this area receives water from onsite wells, wastewater
treatment from either onsite septic or the City (through longstanding Outside Agency Agreements),
and fire protection from CalFire. Should the City or the landowners express interest in having the area
obtain municipal services from the City in the future, then the area could be reconsidered for inclusion
in the SOI at that time. Removing areas from the SOI that receive a single service through long-standing
Outside Agency Agreements would not impede the City’s ability to continue providing service. Because
these agreements were established prior to January 1, 2000, they are generally considered
“grandfathered” and are therefore exempt from the requirements of Government Code Section 56133.
60 If an Outside Agency Agreement was in place before Jan 1, 2000, then the agreement is often considered being
“grandfathered” in and therefore exempt from the requirements of Government Codes Section 56133.
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SOI Study Area No. 6 | W 19th Street | Recommend Removal
Figure 18: City of Paso Robles Study Area 6
Description: The West 19th Street area covers 48± acres adjacent to the Paso Robles western boundary,
along Bailey Drive. This area includes single-family homes on large lots and is designated “Residential
Suburban” under the County’s land use designation. Study Area No. 6 does not contain property under
a Williamson Act Contract, nor does it contain prime agricultural land as defined in Government Code
Section 56064. This area has been within the City’s SOI since the early 1980s. The City has determined
that annexation of this area is unfeasible at this time, due to constraints related to wastewater, water,
fire, and road maintenance services.61 However, the City provides wastewater service to approximately
one62 properties in this location through Outside Agency Service Agreements that were established
before the year 2000. The City does not provide any other services.
61 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
62 City Staff Input, October 2025
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LAFCO Staff Recommendation. It is recommended that Area 6 be removed from the City’s SOI. This
area has remained within the SOI for over forty years, yet neither the City nor the property owners has
demonstrated interest in, or taken steps toward, annexation. Given the absence of current or
foreseeable demand for municipal services, continued inclusion in the SOI is unwarranted. The City also
recognized constraints related to the City’s ability to provide wastewater, water, fire, and road
maintenance services. Development in this area receives water from onsite wells, wastewater
treatment from either onsite septic or the City (through longstanding Outside Agency Agreements),
and fire protection from CalFire. Should the City or the landowners express interest in having the area
obtain municipal services from the City in the future, then the area could be reconsidered for inclusion
in the SOI at that time. Removing areas from the SOI that receive a single service through long-standing
Outside Agency Agreements would not impede the City’s ability to continue providing service. Because
these agreements were established prior to January 1, 2000, they are generally considered
“grandfathered” and are therefore exempt from the requirements of Government Code Section 56133.
SOI Study Area No. 7 | Nacimiento Lake Drive / Mustang Springs Road | Recommend Removal
Figure 19: City of Paso Robles Study Area 7
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Description: The Nacimiento Lake Drive / Mustang Springs Road area covers 111± acres adjacent to the
Paso Robles western boundary, along Nacimiento Lake Drive. This area includes the Paso Robles
Cemetery and single-family homes on large lots and is designated “Public Facilities” and “Residential
Suburban” under the County’s land use designation. Study Area No. 7 does not contain property under
a Williamson Act Contract, nor does it contain prime agricultural land as defined in Government Code
Section 56064. This area has been within the City’s SOI since the early 1980s. The City has determined
that annexation of this area is unfeasible at this time, due to constraints related to wastewater, water,
fire, and road maintenance services.63 The area was included in the City’s SOI due to the landowner's
petition. The City does not provide any services.
Mustang Springs Mutual Water Company (MSMWC) is located within Study Area No. 7b and provides
potable water to approximately 16 service connections. The Regional Water Quality Control Board
(RWQCB) provided LAFCO staff with feedback on the status of the water system. It was indicated that
MSMWC was out of compliance with the fluoride maximum contaminant level (MCL) of 2 mg/L from
July 2016 through June 2023. Although treatment was installed in 2020, it took approximately 2–3
years to optimize the system to reduce fluoride levels below the MCL. During that period, RWQCB
reached out to the City to explore the possibility of consolidation, but no progress was made. The
MSMWC was identified as an “At-Risk64” water system based on the State Water Board’s SAFER Status.
The system’s risk scores are the highest among the results of the Risk Assessment, which means it is at
risk of failing.
LAFCO Staff Recommendation. It is recommended that Area 7 be removed from the City’s SOI. This area
has remained within the SOI for over forty years, yet neither the City nor the property owners has
demonstrated interest in, or taken steps toward, annexation. The City also recognized constraints
related to the City’s ability to provide wastewater, water, fire, and road maintenance services.
Development in this area receives water from onsite wells or MSMWC, wastewater treatment from
either onsite septic, and fire protection from CalFire. Should the City or the landowners express interest
63 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
64 SAFER Status data accessed July 2025.
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in the consolidation of MSMWC or having the area obtain municipal services from the City in the future,
then the area could be reconsidered for inclusion in the SOI at that time.
It should be noted that even though removal is recommended, the City and MSMWC should continue
to collaborate, as necessary. Should the SAFER status of the MSMWC worsen, and if an existing or
impending threat to public health or safety arises, the City may provide new or extended services
beyond its jurisdictional boundaries and SOI pursuant to Government Code Section 56133. This action
would require coordination and approval by the Commission.
SOI Study Area No. 8 | North Vine Street | Recommend Removal
Figure 20: City of Paso Robles Study Area 8
Description: The Nacimiento Lake Drive / Mustang Springs Road area covers 111± acres adjacent to the
Paso Robles western boundary, along Nacimiento Lake Drive. This area includes the Paso Robles
Cemetery and single-family homes on large lots and is designated “Residential Suburban” and
“Residential Rural” under the County’s land use designation. Study Area No. 8 does not contain
property under a Williamson Act Contract, nor does it contain prime agricultural land as defined in
Government Code Section 56064. This area has been within the City’s SOI since the early 1980s. The
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City has determined that annexation of this area is unfeasible at this time, due to constraints related
to wastewater, water, fire, and road maintenance services.65 The City does not provide any services.
LAFCO Staff Recommendation. It is recommended that Area 8 be removed from the City’s SOI. This area
has remained within the SOI for over forty years, yet neither the City nor the property owners has
demonstrated interest in, or taken steps toward, annexation. The City also recognized constraints
related to the City’s ability to provide wastewater, water, fire, and road maintenance services. Given
the absence of current or foreseeable demand for municipal services, continued inclusion in the SOI is
unwarranted. Development in this area receives water from onsite wells, wastewater treatment from
either onsite septic or the City (through longstanding Outside Agency Agreements), and fire protection
from CalFire. Should the City or the landowners express interest in having the area obtain municipal
services from the City in the future, then the area could be reconsidered for inclusion in the SOI at that
time. Removing areas from the SOI that receive a single service through long-standing Outside Agency
Agreements would not impede the City’s ability to continue providing service. Because these
agreements were established prior to January 1, 2000, they are generally considered “grandfathered”
and are therefore exempt from the requirements of Government Code Section 56133.
65 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
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SOI Study Area No. 9 | Wisteria Lane west of Golden Hill Road | Recommend Inclusion
Figure 21: City of Paso Robles Study Area 9
Description: The Wisteria Lane west of Golden Hill Road area covers 43± acres adjacent to the Paso
Robles northern boundary. This area includes single-family homes on large lots and is designated
“Residential Rural” under the County’s land use designation. This area is outside of the City’s SOI and
is being analyzed as a new Study Area at the City’s request. The City would like to include the area to
align the SOI with the goals of the City’s 2018 Circulation Element, where it was identified that Wisteria
Lane would be extended to connect to Dallons Drive by 2055. Study Area No. 9 does not contain
property under a Williamson Act Contract, nor does it contain prime agricultural land as defined in
Government Code Section 56064. However, the City provides wastewater service to approximately
two66 properties in this location through Outside Agency Service Agreements that were established
before the year 2000. The City does not provide any other services.
66 “Existing and Future Flows” Map included on page 142 of the Wastewater Collections System Renewal Strategy and
Master Plan, October 2019
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LAFCO Staff Recommendation. It is recommended that Area 9 be included in the City’s SOI. Including
this area would be consistent with the goals of the City’s 2018 Circulation Element and provide the City
with an opportunity to better manage the Wisteria Lane extension to Dallons Drive. If annexation is
pursued in the future, then the City would be required to demonstrate its ability to effectively serve
the area and be subject to LAFCO proceedings and approval.
SOI Study Area No. 10 | Buena Vista Drive west of Airport Road | Recommend Exclusion
Figure 22: City of Paso Robles Study Area 10
Description: The Buena Vista Drive west of Airport Road area covers 500± acres adjacent to the Paso
Robles northern boundary, just west of the Paso Robles Municipal Airport. This area includes mostly
vineyards, Kiamie Wine Cellars, Sylvester Vineyards & Winery, and several single-family homes with
land designated “Agriculture” under the County’s land use designation. Study Area No. 10 does not
contain property under a Williamson Act Contract; however, portions of this Study Area do contain
prime agricultural land as defined in Government Code Section 56064. It is estimated that
approximately 78 percent of this Study Area is considered prime. This area is outside of the City’s SOI
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and is being analyzed as a new Study Area at the City’s request. The City does not currently provide any
services in the area. The City is interested in developing Area 10 into a wine-related industrial area to
support the local wine industry; however, this has not been studied. The City has determined that
annexation of this area is unfeasible at this time, due to constraints related to its ability to provide
critical services such as water, wastewater, and road maintenance.67
LAFCO Staff Recommendation. It is recommended that Area 10 be excluded from the City’s SOI. The
City’s long-term goal of developing Area 10 into a wine-related industrial area to support the local wine
industry could promote agricultural operations, economic growth, and other benefits. The City has not
reviewed this area as an expansion area in their General Plan, and there are no existing Specific Plan
and/or Environmental Impact Reports associated with the potential development. Further, impacts on
prime soil could be significant because the majority of this area contains prime soils. Though the June
4, 2024, City Council item recommended inclusion of this area into the SOI, the City also recognized
constraints related to the City’s ability to provide wastewater, water, and road maintenance services.
Excluding this area would best align with LAFCO policies and procedures at this time. Should the City
prepare a Specific Plan, General Plan Amendment, and Environmental Impact Report in the future,
more information would be available, and the area could be reconsidered for inclusion into the SOI and
annexation at that time. In addition, LAFCO Policies & Procedures call for properties with prime
farmland to be protected from uses other than agriculture. If the City or Landowner pursues annexation
in the future, it may prompt LAFCO Policy 2.9.12, which requires 1:1 mitigation of prime land when
converted from agricultural use.
67 Exhibit A of the MSR & SOI Study includes the June 4, 2024, regular City Council meeting staff report that provides more
information relating to opportunities and constraints for each SOI Study area and the City’s preferred outcome.
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SOI Study Area No. 11 | Union Rd near the Landfill | Recommend it Remain in SOI
Figure 23: City of Paso Robles Study Area 11
Description: The Union Road area covers 133± acres owned by the City of Paso Robles. The property
allows for a buffer to the City landfill site and has been identified as a potential future recycling site.
The City has had preliminary discussions with LAFCO staff regarding annexation requirements for this
area to potentially pursue development of a waste-to-energy digester. The area is located 3.5 miles
east of the city on Highway 46 and immediately north of the Highway adjacent to the landfill. The
parcels are vacant and not actively used for agriculture, but are zoned "Agriculture" under the County
land use designation. Study Area No. 11 does not contain property under a Williamson Act Contract;
however, portions of this Study Area do contain prime agricultural land as defined in Government Code
Section 56064. It is estimated that approximately 5 percent of this Study Area is considered prime. This
area has been within the City’s SOI since it was added during the 2013 MSR/SOI update. The City does
not currently provide any services in the area.
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LAFCO Staff Recommendation. It is recommended that Area 11 remain in the City’s SOI. The City owns
the property and would be allowed to pursue annexation of non-contiguous land in the future if it is
used for municipal purposes. The City has long-term plans to expand the landfill and provide other
public infrastructure and services, and recently has coordinated with LAFCO on requirements for the
annexation application. This area would provide a logical extension of the City’s landfill. If annexation
is pursued in the future, then the City would be required to demonstrate its ability to effectively serve
the area and be subject to LAFCO proceedings and approval.
LAFCO Policies & Procedures call for properties with prime farmland to be protected from uses other
than agriculture. If the City or Landowner pursues annexation in the future, it may prompt LAFCO Policy
2.9.12, which requires 1:1 mitigation of prime land when converted from agricultural use.
SOI Study Area No. 12 | Rancho Paso Mobile Home Park | Recommend Exclusion
Figure 24: City of Paso Robles Study Area 12
Description: The Rancho Paso Mobile Home Park area covers 36± acres adjacent to the Paso Robles
southern service area boundary and immediately north of the Templeton Community Services District
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(TCSD) SOI and service area boundaries. This area includes approximately 187 homes on lots owned by
individuals and LLCs with land designated “Residential Single-Family” and “Commercial Retail” under
the County’s land use designation. This area is also located within Paso Robles/Templeton DUC Area 1,
as was previously discussed in the “Disadvantaged Unincorporated Communities” section of this
report. Study Area No. 12 does not contain property under a Williamson Act Contract, nor does it
contain prime agricultural land as defined in Government Code Section 56064. The Rancho Paso MHP
owns and operates its Wastewater Treatment Plant, receives water from the Walnut Hills Mutual
Water Company, and fire protection from CalFire. This area is outside of the City’s SOI and is being
analyzed as a new Study Area due to landowner, State Water Resources Control Board (SWRCB), and
Regional Water Quality Control Board (RWQCB) interest. The City does not provide any services to the
Rancho Paso MHP.
The Rancho Paso MHP Homeowners Association (HOA) and the SWRCB have inquired with LAFCO
separately regarding the possibility of annexing the MHP into TCSD or the City, whichever is possible,
due to concerns related to the MHP's long-term ability to provide service and the SWRCB’s efforts to
consolidate small failing/ deteriorating private systems. In 2005, the Central Coast RWQCB identified
challenges for the facility going forward and issued a letter to the Rancho Paso MHP HOA. Since then,
the Rancho Paso HOA Wastewater Treatment and Disposal Facility has received several violations. The
RWQCB stated that the nature of the recent violations suggests that the facility and facility operation
are deteriorating.68 The RWQCB also met with Rancho Paso MHP HOA representatives in 2023 to
provide information on options for technical and financial assistance to consolidate with TCSD. The
RWQCB fully supports consolidation of the facility with either TCSD or the City and has identified
potential funding sources (available to public entities) if consolidation appears to be a viable option at
one of the facilities. The RWQCB deems the issues at this facility as a high priority.
In addition, in mid-2025, SLO County contacted DDW-SAFER to reexplore the possibility of
consolidating Walnut Hills MWC and Los Robles MHP with TCSD or the City. Both systems have PFAS69
analyte levels above the Notification Level and qualify for funding under the Emerging Contaminants
(EC) program.
68 Issues with routine maintenance, operations, equipment failures, etc.
69 Polyfluoroalkyl substances known as PFAS or “forever chemicals”.
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The City issued a letter on August 21, 2025, with their review and consideration of including the Ranch
Paso MHP into the City’s SOI.70 The City’s letter outlined concerns related to potential negative fiscal
impacts, existing infrastructure not meeting City standards, the use of General Fund resources to
subsidize development, and reluctance to assume liabilities considered to be the County’s
responsibility. The City does not support including SOI Study Area 12 at this time.
LAFCO Staff Recommendation. It is recommended that Area 12 be excluded from the City’s SOI. While
preliminary discussions have taken place among the affected parties, no viable solutions have yet been
identified. Ongoing efforts are underway to explore the potential consolidation of Rancho Paso MHP,
Walnut Hills MWC, and Los Robles MHP with neighboring public agencies for wastewater and/or water
services. LAFCO’s objective in this circumstance is to document the issues and establish a baseline of
information in response to expressed interest in pursuing consolidation in the future. Inclusion into the
City’s SOI is not viable or being recommended at this time, as all potential solutions are still being
explored. Further, the City of Paso Robles informed LAFCO that the City cannot serve this area for a
variety of reasons, including but not limited to potential negative fiscal impacts, existing infrastructure
not meeting City standards, the use of General Fund resources to subsidize development, and
reluctance to assume liabilities considered to be the County’s responsibility, as seen in Exhibit B. The
City is of the position that because these areas were originally permitted and are currently within the
County’s unincorporated land use authority, parties should engage further with the County on these
matters. Nonetheless, the City is encouraged to maintain active collaboration with neighboring service
providers, the County, the SWRCB, and the RWQCB, as appropriate. Furthermore, the potential need
for service is primarily limited to wastewater, with newly expressed interest in the consolidation of
neighboring private water systems.
Should consolidation efforts become a challenge, and if an impending threat to health or safety arises,
then the City and/or neighboring public agencies may provide new or extended services beyond their
jurisdictional boundaries and SOI pursuant to Government Code Section 56133. This action would
require coordination and approval by the Commission. It should be noted that this area is within Paso
Robles/Templeton DUC Area 1, which qualifies as DUC pursuant to Government Code Section 56033.5.
70 Exhibit B of the MSR & SOI Study includes the August 21, 2025, City response letter that provides more information
relating to the City’s preferred outcome on including the New Study Areas being considered by LAFCO.
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If the City considers future SOI amendments or annexations, it is recommended that this DUC area be
evaluated further, in alignment with objectives to ensure equitable access to public services and
infrastructure.
SOI Study Area No. 13 | Almira Water Association | Recommend Exclusion
Figure 25: City of Paso Robles Study Area 13
Description: The Almira Water Association area covers 210± acres and is immediately adjacent to the
western City service area boundary. This area includes single-family homes on large lots and is
designated “Residential Rural” under the County’s land use designation. Study Area No. 12 does not
contain property under a Williamson Act Contract, nor does it contain prime agricultural land as defined
in Government Code Section 56064. The Almira Water Association provides water to approximately 20
service connections. This area is outside of the City’s SOI and is being analyzed as a new Study Area due
to RWQCB interest in exploring future consolidation. The City provides wastewater service to
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approximately one71 property in this location through Outside Agency Service Agreements that were
established before the year 2000. The City does not provide any other services.
LAFCO staff recommended that all contiguous “Failing” and “At-Risk” systems be analyzed further in
the SOI Study. The Almira Water Association was identified as an “At-Risk72” water system based on
the State Water Board’s SAFER Status. The system’s risk scores are the highest among the results of
the Risk Assessment, which means it is at risk of failing. LAFCO’s goal is to daylight the location and
status of the neighboring water providers to help establish a baseline of information, should these
water providers seek consolidation in the future.
The State RWQCB indicated that the Almira Water Association has experienced recent difficulties
related to arsenic and manganese maximum contaminant level violations. Between 2021 and 2024,
the RWQCB made multiple outreach attempts with the City to discuss consolidation options, where it
was concluded that no SOI changes were being made at the time.
On August 21, 2025, the City issued a letter with their review and consideration of including the Almira
Water Association in the City’s SOI.73 The City’s letter outlined concerns related to potential negative
fiscal impacts, existing infrastructure not meeting City standards, the use of General Fund resources to
subsidize development, and reluctance to assume liabilities considered to be the County’s
responsibility. The City does not support including SOI Study Area 13 at this time.
LAFCO Staff Recommendation. It is recommended that Area 13 be excluded from the City’s SOI. Neither
the City nor the property owners have demonstrated interest in, or taken steps toward, amending the
SOI. Should the City and the landowners express interest in having the area attain municipal service
from the City in the future, then the area could be reconsidered for inclusion in the SOI at that time.
State law prohibits annexations that will result in islands of unincorporated territory. Therefore, if an
SOI amendment and future annexation are pursued, the proposed boundaries must also encompass
approximately fifteen adjacent parcels located between the Almira Water Association and the City’s
71 “Existing and Future Flows” Map included on page 142 of the Wastewater Collections System Renewal Strategy and
Master Plan, October 2019
72 SAFER Status data accessed July 2025.
73 Exhibit B of the MSR & SOI Study includes the August 21, 2025, City response letter that provides more information
relating to the City’s preferred outcome on including the New Study Areas being considered by LAFCO.
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service area, as seen in Figure 25. Furthermore, the potential need for service is limited to water, which
may not warrant an annexation. It should be noted that even though exclusion is recommended, the
City and Almira Water Association should continue to collaborate, as necessary. Should the SAFER
status worsen and if an existing or impending threat to public health or safety arises, the City may
provide new or extended services beyond its jurisdictional boundaries and SOI pursuant to Government
Code Section 56133. This action would require coordination and approval by the Commission.
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Recommended Sphere of Influence
Figure 26: City of Paso Robles Recommended SOI Map
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Memorandum of Agreement
A Memorandum of Agreement (MOA) is commonly entered into by each respective City and the County
for areas that are envisioned for future expansion. An MOA is not a mandatory requirement but rather
a strategic tool to facilitate regional collaboration, acknowledge proposed changes to sphere
boundaries, and explore methods to reach agreement on development standards and planning/ zoning
requirements within the sphere. Its purpose is to ensure that growth and development within the
sphere align with the priorities of the affected city and proceed in a logical, coordinated, and orderly
manner.
The City and County intend to cooperate regarding growth and development on the urban fringe of the
City. The City Council of Paso Robles previously considered and approved the MOA between the City
and the County on November 20, 2012. The County Board of Supervisors adopted the MOA on January
8, 2013. LAFCO is working together with the affected jurisdictions to facilitate a constructive dialogue
on the issues related to a service review and SOI. Once the Commission establishes what the City’s SOI
will be, then LAFCO staff will continue to coordinate with the affected jurisdictions, and the City Council
and County Board of Supervisors may move forward with adopting the MOA. A copy will be made
available on the LAFCO website.
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DETERMINATIONS
Service Review Determinations per Government Code Section 56430
As set forth in Government Code Section 56430(a), in order to prepare and update the SOI in
accordance with Section 56425, the commission shall conduct a service review of the municipal services
provided in the county or other appropriate area designated by the commission. The commission shall
include in the area designated for a service review the county, the region, the sub-region, or any other
geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall
prepare a written statement of its determinations with respect to each of the following:
1. Growth and population projections for the affected area
The City’s estimated population is 31,490 based on 2020 US Census data. The projected General
Plan buildout population is estimated to be 44,000. The 2050 Regional Growth Forecast for San
Luis Obispo County (medium scenario) population projections do not suggest that Paso Robles
will reach the population growth cap of 44,000, as the population of the community is estimated
to be 37,858 by the year 2050. The City’s population is projected to grow by 27 percent between
2010 to 2050, with an average annual growth rate of approximately 0.41 percent between 2025
to 2050.
In 2025, the City had an estimated 12,949 households, reflecting an increase of approximately
13 percent since 2010. The total number of households is projected to grow by 26 percent
between 2010 and the buildout year of 2050. According to the 2050 Regional Growth Forecast
for San Luis Obispo County (medium scenario), the City is not expected to reach its housing unit
cap of 16,924. Instead, the projected number of housing units by 2050 is 14,342, remaining well
below the established limit.
2. The location and characteristics of any disadvantaged unincorporated communities within or
contiguous to the sphere of influence
There are no DUCs within the City’s service area, existing or proposed SOI that meet the
definition of a DUC as outlined in Government Code Section 56033.5. However, two DUCs are
located adjacent to the City’s service area and a portion of the existing SOI. These areas—Paso
Robles/Templeton DUC Area 1 and Paso Robles DUC Area 2—are all inhabited and have a
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Median Household Income (MHI) that is less than 80 percent of the statewide MHI, qualifying
them each as DUCs. If the City considers future SOI amendments or annexations, it is
recommended that these DUCs be evaluated further, in alignment with objectives to ensure
equitable access to public services and infrastructure.
Table 20: City Disadvantaged Unincorporated Communities Census Block Information
Census Block Median Registered
DUC
Group Household Income Voters74
Paso Robles/Templeton DUC Area #1 127.07.1 $54,797 955
Paso Robles DUC Area #2 102.02.2 $61,513 59
3. Present and planned capacity of public facilities and adequacy of public services, including
infrastructure needs or deficiencies
The City is a full-service city and provides Administration, Airport, Animal Control, Electric
Utility, Fire and Emergency Services, Law Enforcement, Community Development, Community
Services (such as Library, Parks and Recreation), Public Works, Solid Waste, Stormwater,
Wastewater, and Water municipal services within its jurisdictional boundary as addressed in
this MSR. Existing and planned facilities are generally adequate to meet current community
needs and future demands. To address existing and future demands, the City Council adopts
annual goals that guide resource allocation through the budget and capital improvement
program, which in turn aligns with departmental work plans, capital project priorities, and
ensures ongoing high levels of service to the community.
4. Financial ability of agencies to provide services
The City Council adopts an annual budget on a basis consistent with generally accepted
accounting principles. The City is primarily funded through charges for services, property taxes,
sales & use taxes, grants and contributions, and other taxes such as transient occupancy taxes
and Community Facilities Districts. To assess the City’s financial health, key indicators, including
Operating Ratio, Liquidity Ratio, and Net Position, were analyzed. Operating Ratio, which
74 SLO County Clerk Recorder Registered Voter GIS Data, October 2023
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compares annual operating revenues to operating expenses, showed a consistently positive
trend over the past five audited years, indicating that revenues have exceeded expenditures on
an annual basis. Liquidity Ratio, which measures current assets relative to current obligations,
also remained strong across all five years, reflecting adequate short-term financial health. The
City’s Net Position, representing the difference between total assets and total liabilities,
increased by 26 percent over the five-year audited period, a strong indicator of long-term
financial growth and stability. Overall, these financial indicators suggest that the City is in a
financially healthy state with adequate financial resources to deliver its services.
5. Status of and opportunities for shared facilities
There are opportunities for new and continued collaborative efforts with neighboring agencies
to improve efficiencies. Opportunities may include, but are not limited to, coordination with
SLO County regarding future expansion areas, City, County/CAL Fire, and other neighboring
agencies that provide fire protection services, agriculture and open space preservation efforts,
private water and wastewater consolidation opportunities, and ongoing engagement with Joint
Power Authorities in which the City participates.
6. Accountability for community service needs, including governmental structure and
operational efficiencies
The City is governed by a five-member City Council that is elected to four-year terms. Regularly
scheduled monthly Council meetings are held, and all meetings are open to the public and are
publicly posted a minimum of 72 hours prior to the meeting in accordance with the Brown Act.
The City maintains an up-to-date website that contains City information, documents, and
updates. The City has demonstrated accountability and transparency in its disclosure of
information and cooperation during the process of this MSR. The City responded to
questionnaires and cooperated with document requests.
7. Any other matter related to effective or efficient service delivery
LAFCO recommends that the City consider analyzing possible annexation of the areas within
their sphere boundary as part of any future strategic plan and/or general plan update.
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Sphere of Influence Determinations per Government Code Section 56425
In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly
development of local governmental agencies to advantageously provide for the present and future
needs of the county and its communities, the commission shall develop and determine the sphere of
influence of each local agency, as defined by Government Code Section 56036, and enact policies
designed to promote the logical and orderly development of areas within the sphere. In determining
the sphere of influence of each local agency, the commission shall consider and prepare a written
statement of its determinations with respect to the following:
1. Present and planned land uses in the area, including agricultural and open-space lands
Land uses within the City’s existing SOI are determined by the County’s General Plan, and range
from a wide variety of uses, from Residential Rural, Residential Suburban, Public Facilities,
Commercial Service, Industrial, and Agriculture. The SOI is proposed to be reduced to four areas
as discussed in the “SOI Study” Section of this report. Planned land uses within the proposed
SOI are not anticipated to deviate from the existing County designations, as the City has
expressed interest in existing development and/or land use designation of Residential Rural,
Commercial Recreation, Industrial, and Agriculture.
2. Present and probable need for public facilities and services in the area
The City is a full-service city and provides Administration, Airport, Animal Control, Electric
Utility, Fire and Emergency Services, Law Enforcement, Community Development, Community
Services (such as Library, Parks and Recreation), Public Works, Solid Waste, Stormwater,
Wastewater, and Water municipal services within its jurisdictional boundary as addressed in
this MSR. The areas within the proposed SOI updates reflect the appropriate current and near-
term jurisdictional boundaries as well as service areas of the affected agencies as determined
by the Commission. Accordingly, the City’s SOI should be updated to reflect the changes
described in the “SOI Study” section of this report.
3. Present capacity of public facilities and adequacy of public services that the agency provides
or is authorized to provide
The City has the capability and capacity to adequately meet existing service demand and some
level of increased future service demand. A comprehensive evaluation of public services and
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adequacy therein for the City has been prepared by the Commission as part of this MSR. In
order to continue serving current needs and plan for anticipated future growth, the City is
encouraged to continue with planned upgrades to its facilities as identified in its capital
improvement program. Accordingly, the City’s SOI should be updated to reflect the changes
described in the “SOI Study” section and as seen in Figure 26 of this report.
4. Existence of any social or economic communities of interest in the area if the commission
determines that they are relevant to the agency
There are no social or economic communities of interest within the City service area boundary.
5. For an update of the sphere of influence of a city or special district that provides public
facilities or services related to sewers, municipal and industrial water, or structural fire
protection, the present and probable need for those public facilities and services of any
disadvantaged unincorporated communities within the existing sphere
There are no DUCs within the City’s service area, existing or proposed SOI that meet the
definition of a DUC as outlined in Government Code Section 56033.5. However, two DUCs are
located adjacent to the City’s service area and a portion of the existing SOI. Paso
Robles/Templeton DUC Area 1 and Paso Robles DUC Area 2. The DUCs contain some areas that
are uninhabited. There are known deficiencies within a portion of the Paso Robles/Templeton
DUC Area 1, consisting of the Rancho Paso MHP, which was studied further in the SOI section
of this report. While preliminary discussions have taken place among affected parties (RWQCB,
SWRCB, City, TCSD, LAFCO, and Rancho Paso MHP), no viable solutions have yet been identified.
Ongoing efforts are underway to explore the potential consolidation of Rancho Paso MHP,
Walnut Hills MWC, and Los Robles MHP with neighboring public agencies for water and/or
wastewater services. Should the City seek to evaluate any of the City’s surrounding areas for an
SOI amendment or annexation in the future, disadvantaged communities should be considered
further, in alignment with objectives to ensure equitable access to public services and
infrastructure.
California Environmental Quality Act
The California Environmental Quality Act (CEQA) is contained in the Public Resources Code Section
21000, et seq. Under this law, public agencies are required to evaluate the potential environmental
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effects of their actions. This MSR & SOI Study for the City of Paso Robles is exempt from CEQA review
pursuant to Section 15306 of the CEQA Guidelines, Class 6 – Information Collection and Section 15061
(b)(3) the General Rule Exemption. This report is based on the use of the MSR as a tool for data
collection and service evaluation. The MSR & SOI Study will not result in any significant environmental
impact, as it does not authorize new municipal service powers. Additionally, the study does not involve
changes to land use or introduce activities that would affect the environment.
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APPENDIX
Document Sources
Agency Contacts
• Warren Frace, City of Paso Robles, Community Development Director
• Darren Nash, City of Paso Robles, City Planner
• Darcy Delgado, City of Paso Robles, Associate Planner
Websites
• American Community Survey, Demographic Information
www.census.gov
• City of Paso Robles | Official Website
https://www.prcity.com/
• City of Paso Robles Municipal Code
https://library.municode.com/ca/el_paso_de_robles/codes/code_of_ordinances
• SAFER Dashboard
https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/saferdashboard.html
• United States Department of Justice, Federal Bureau of Investigation, Crime Data Explorer
https://cde.ucr.cjis.gov/LATEST/webapp/#/pages/explorer/crime/crime-trend
• United States National Fire Protection Association, US Fire Department Profile
https://www.nfpa.org/education-and-research/research/nfpa-research/fire-statistical-
reports/us-fire-department-profile
Publications/ Documents
• City Adopted Comprehensive Fee Schedule, For City Services Fiscal Year 2024-2025
• City Approved Fiscal Year 2024-25 & 2025-26 Operating and Capital Budget Report
• City Audited Financial Statements June 30, 2020, through June 30, 2024
• City Council Policies & Procedures, December 2001, Latest revisions May 2017
• City Elected Official Stiped and Benefit Information, January 2025
• City General Plan, Latest Revision 2020
• City Fire and Emergency Services Annual Report 2022
• City Fire and Emergency Services, Community Risk Assessment/ Standards of Cover & Five-
Year Strategic Plan, April 2022
• City Fiscal Year 2022-2023 Year In Review
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• City Public Protection Classification Summary Report, Paso Robles CA, September 1, 2020
• City Recreation Services Strategic Plan 2022-2026, January 2022
• City Recycled Water Master Plan, March 2014
• City Redistricting 2021 Green Map, Approved 2022
• City Response to LAFCO MSR-SOI Request for Information Questionnaire, December 2022
• City Urban Water Management Plan, July 2021
• City Wastewater Treatment Plant 2024 Annual Report, January 2025
• City 2019 Wastewater Collection System Renewal Strategy and Master Plan
• San Luis Obispo Council of Governments, 2050 Regional Growth Forecast for San Luis Obispo
County, June 2017
• Sphere of Influence Update and Municipal Service Review for the City of Paso Robles,
February 2013
Exhibits
Exhibit A: June 4, 2024, Regular City Council Meeting Staff Report
Exhibit B: August 21, 2025, City Response Letter
Exhibit A
June 4, 2024, Regular City
Council Meeting Staff Report
B-1-127
Council Agenda Report
From: Warren Frace, Community Development Director
Subject: Status Briefing and General Direction – LAFCO’s decennial Sphere of Influence and
Municipal Service Review Update process
CEQA Determination: The City finds that this action is not a project under the California
Environmental Quality Act pursuant to State CEQA Guidelines, Sections §§ 15060, subd.
(c)(2)-(3), 15378, subd. (b)(5).
Date: June 4, 2024
Facts
1. The San Luis Obispo Local Agency Formation Commission (“SLO LAFCO”) is initiating the decennial
update of the Sphere of Influence and Municipal Service Review document for the City of Paso Robles.
2. A Sphere of Influence is a boundary for the expected future City limits and service areas of a local
agency or jurisdiction. As such, it does not give property inside the Sphere boundary any more
development rights than what already exist. The Sphere of Influence Boundary is a long-range
planning tool that assists LAFCO in making decisions about a jurisdiction’s future boundary. The
Sphere indicates areas that might be served by the City in the future and is generally considered a 20-
year, long range planning tool.
3. A Municipal Service Review evaluates the capability of a jurisdiction to serve their existing residents
and future development in their Sphere of Influence.
4. Because the two go hand in hand, a Municipal Service Review and Sphere of Influence update are
conducted in conjunction.
5. Prior to updating the Sphere of Influence/Municipal Service Review, the City needs to inform SLO
LAFCO if any Sphere areas changes need to be studied.
6. City staff has created a map and scorecard for the SOI areas that analyzes the City’s ability to serve
these areas and the potential public benefit potential (Attachments 2 and 3).
7. The SOI Map has been analyzed by all City departments, and, as a result, several areas within the
Sphere are suggested to be removed, while other areas outside the Sphere are suggested to be added
(Attachment 3).
8. The City Council is requested to provide direction on which areas to include in the updated Sphere of
Influence which will be passed on to SLO LAFCO as they prepare their update to the City’s Sphere of
Influence/Municipal Service Review.
Options
1. Direct staff to forward the Proposed Sphere of Influence map to SLO LAFCO (Attachment 3); or
2. Direct staff to forward a revised Sphere of Influence map to SLO LAFCO based on specific changes
provided by the City Council; or
3. Refer the item back to staff or additional analysis; or
4. Provide alternative direction to staff.
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City Council Agenda June 4, 2024
Analysis and Conclusions
The San Luis Obispo Local Agency Formation Commission (“SLO LAFCO”) is working to prepare an update
of the City’s Sphere of Influence (“SOI”) and the Municipal Service Review (“MSR”) and has asked City staff
to relay any changes to the Sphere that should be considered by their agency.
City staff has identified a total of 11 study areas, which includes both existing and new SOI areas, to be
considered for potential changes. All City Departments “ranked” each of the study areas based on the
following factors (Attachment 2):
Fire Hazard
Emergency Access
Water service
Sewer service
Roads and transportation
Environmental sensitivity
Economic Development potential
Affordable housing potential
Financial impact to City of Paso Robles
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City Council Agenda June 4, 2024
B-1-130
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Based on input from the various departments and the results of the scoring exercise, six (6) areas within
the Sphere are suggested to be removed, two (2) areas outside the Sphere are suggested to be included,
and three (3) already in the Sphere are recommended to remain. The City Council is requested to provide
final direction on which areas to include in the updated Sphere of Influence which will be passed on to
SLO LAFCO as they prepare their update to the City’s Sphere of Influence / Municipal Service Review.
SOI Study SOI
Description/ Location Status
Area Recommendation
Area 1 Mill Road Existing Remain
Area 2 East Chandler Ranch area Existing Remove
SW corner of Charlois / S River
Area 3 Existing Remove
Road (Oak Lane)
Area 4 South Ramada Drive Existing Remain
Area 5 Bailey Drive Existing Remove
Area 6 W 19th Street Existing Remove
Nacimiento Lake Drive / Mustang
Area 7 Existing Remove
Springs Road
Area 8 North Vine Street Existing Remove
Wisteria Lane west of Golden Hill
Area 9 New Include
Road
Buena Vista Drive west of Airport
Area 10 New Include
Road
Area 11 Union Rd near the Landfill Existing Remain
Fiscal Impact
There could be future fiscal impacts from changing the Sphere of Influence. For instance, removing areas
from the Sphere that have low economic potential and greater financial impacts could result in incurred
costs. Including areas in the Sphere that have high economic potential and low financial impacts could
result in cost savings. The scorecard process included a potential fiscal impact assessment.
CEQA
The City finds that the proposed actions are not subject to the California Environmental Quality Act
(“CEQA”) because they do not qualify as a “project” under CEQA. The proposed actions include directing
City staff to forward a revised Sphere of Influence map to SLO LAFCO or referring the item back to staff
for further action. Such actions are considered administrative activities that will not result in a physical
change in the environment, and therefore are not subject to CEQA pursuant to State CEQA Guidelines,
Section 15378(b)(5).
Moreover, the proposed actions are not subject to CEQA pursuant to Sections 15060(c)(2) (the activity
will not result in a direct or reasonably foreseeable indirect physical change in the environment), and
15060(c)(3) (the activity is not a project as defined in Section 15378) of the State CEQA Guidelines because
they have no potential for resulting in physical change to the environment, directly or indirectly, as they
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City Council Agenda June 4, 2024
merely require the Council to direct staff to forward a revised Sphere of Influence map to SLO LAFCO or
refer the item back to staff for further action.
Recommendation (Option 1)
Staff recommends that the City Council direct staff to provide the Proposed Sphere of Influence map to
SLO LAFCO (Attachment 3) and adopt Resolution 24-XXX directing staff to forward the recommended
changes to the Sphere of Influence study areas to SLO LAFCO (Attachment 1).
Attachments
1. Resolution 24-XXX - Municipal Service Review
a. Exhibit A - Sphere of Influence Scorecard
b. Exhibit B - Sphere of Influence Proposed Map
c. Exhibit C - Recommended Sphere Study Areas
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City Council Agenda June 4, 2024
Attachment 1
RESOLUTION 24-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PASO ROBLES
DIRECTING CITY STAFF TO FORWARD RECOMMENDED CHANGES TO THE SPHERE OF INFLUENCE
STUDY AREAS AS PART OF LAFCO’S SPHERE OF INFLUENCE AND MUNICIPAL SERVICE REVIEW
UPDATE PROCESS AND FINDING THE ACTION TO BE EXEMPT FROM CEQA UNDER STATE CEQA
GUIDELINES SECTIONS 15060 AND 15378
WHEREAS, the San Luis Obispo Local Agency Formation Commission (“SLO LAFCO”) is initiating the
decennial update of the Sphere of Influence and Municipal Service Review document for the City of
Paso Robles; and
WHEREAS, a Sphere of Influence is a boundary for the expected future City limits and service areas of
a local agency or jurisdiction. As such, it does not give property inside the Sphere boundary any more
development rights than what already exist. The Sphere of Influence Boundary is a long-range
planning tool that assists LAFCO in making decisions about a jurisdiction’s future boundary. The
Sphere indicates areas that might be served by the City in the future and is generally considered a 20-
year, long range planning tool; and
WHEREAS, a Municipal Service Review evaluates the capability of a jurisdiction to serve their existing
residents and future development in their Sphere of Influence; and
WHEREAS, because the two go hand in hand, a Municipal Service Review and Sphere of Influence
update are conducted in conjunction; and
WHEREAS, prior to updating the Sphere of Influence/Municipal Service Review, the City needs to
inform SLO LAFCO if any Sphere areas changes need to be studied; and
WHEREAS, City staff has created a map and scorecard for the SOI areas that analyzes the City’s ability
to serve these areas and the potential public benefit potential (Exhibit A); and
WHEREAS, the SOI Map has been analyzed by all City departments using the scorecard set forth in
Exhibit A, and as a result, several areas within the Sphere are suggested to be removed, while other
areas outside the Sphere are suggested to be added (Exhibit B); and
WHEREAS, the City Council is requested to provide direction on which areas to include in the updated
Sphere of Influence which will be passed on to SLO LAFCO as they prepare their update to the City’s
Sphere of Influence / Municipal Service Review; and
WHEREAS, the City finds that this action is not a project under the California Environmental Quality
Act pursuant to State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378, subd. (b)(5); and
WHEREAS, at their regular meeting on June 4, 2024, the City Council considered the facts as presented
in the staff report prepared for this project and accepted public testimony regarding this recommended
changes to the Sphere of Influence study areas.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY RESOLVE AS
FOLLOWS:
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City Council Agenda June 4, 2024
Attachment 1
Section 1. All of the above recitals are true and correct and incorporated herein by reference.
Section 2. The City Council finds that the proposed actions are not subject to the California
Environmental Quality Act (“CEQA”) because they do not qualify as a “project” under CEQA. The
proposed actions include directing City staff to forward a revised Sphere of Influence map to SLO
LAFCO. Such actions are considered administrative activities that will not result in a physical
change in the environment, and therefore are not subject to CEQA pursuant to State CEQA
Guidelines, Section 15378(b)(5).
Moreover, the proposed actions are not subject to CEQA pursuant to Sections 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment), and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the
State CEQA Guidelines because they have no potential for resulting in physical change to the
environment, directly or indirectly, as they merely require the City Council to direct staff to
forward a revised Sphere of Influence map to SLO LAFCO.
Section 3. The City Council hereby approves the Recommended Sphere Study Areas attached
hereto as Exhibit C and incorporated herein by reference.
Section 4. The City Council directs City staff to provide the Sphere of Influence Proposed Map
attached hereto as Exhibit B and incorporated herein by reference to the San Luis Obispo Local
Agency Formation Commission.
APPROVED this 4th day of June 2024, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
John R. Hamon, Jr., Mayor
ATTEST:
Melissa Boyer, City Clerk
Exhibit A - Sphere of Influence Scorecard
Exhibit B – Sphere of Influence Proposed Map
Exhibit C – Recommended Sphere Study Areas
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City Council Agenda June 4, 2024
Exhibit A
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City Council Agenda June 4, 2024
Exhibit B
Sphere of Influence Study Area Map
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City Council Agenda June 4, 2024
Exhibit C
SOI Study SOI
Description/ Location Status
Area Recommendation
Area 1 Mill Road Existing Remain
Area 2 East Chandler Ranch area Existing Remove
SW corner of Charlois / S River
Area 3 Existing Remove
Road (Oak Lane)
Area 4 South Ramada Drive Existing Remain
Area 5 Bailey Drive Existing Remove
Area 6 W 19th Street Existing Remove
Nacimiento Lake Drive / Mustang
Area 7 Existing Remove
Springs Road
Area 8 North Vine Street Existing Remove
Wisteria Lane west of Golden Hill
Area 9 New Include
Road
Buena Vista Drive west of Airport
Area 10 New Include
Road
Area 11 Union Rd near the Landfill Existing Remain
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City Council Agenda June 4, 2024
Exhibit B
August 21, 2025,
City Response Letter
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August 21, 2025
Imelda Marquez-Vawter, LAFCO Senior Analyst
1042 Pacific Street, Suite A
San Luis Obispo, CA 93401
Re: City of Paso Robles Municipal Service Review and Sphere of Influence Status Update: New Study Areas
Dear Ms. Imelda Marquez-Vawter:
The City of Paso Robles has reviewed LAFCO’s memorandum dated July 21, 2025, regarding including the
Walnut Hills Mutual Water Company, Almira Water Association, Ranch Paso Mobile Home Park, and Mustang
Springs Water Company as Study Areas for future Annexation. After careful consideration, the City must
decline to pursue annexation or consolidation of any of these areas at this time, for the reasons described
below. These areas are in the County of San Luis Obispo, the County approved these developments, and the
City believes that the County should be responsible for providing solutions that address the long-term service
needs of each area.
1. These water and sewer systems are outside the City limits. The City has no interest in annexing these
properties. Annexing these properties would create significant negative fiscal impacts to the City’s General
Fund. Under the existing tax-sharing agreement, the majority of property tax revenue remains with the
County which makes residential annexations net-negative to the City’s General Fund and creates long-
term strains on public safety and other essential municipal services.
2. The County approved each of the subject development projects and therefore the County needs to take the
lead in finding solutions. The County verified that these developments would be able to supply water and
wastewater services to the residents. Accordingly, the County, not the City, bears the primary responsibility
to address service challenges in these areas and the obligation to help its citizens. The City and other
nearby water suppliers and treatment works must not be looked at as a failsafe for inadequate planning.
3. The City is prohibited from suppling water to new users outside the City’s corporate boundaries and
jurisdiction. City Municipal Code Section 14.04.280 prohibits the City from supplying water outside the City.
The City’s is also prohibited from issuing sewer permits outside the City’s boundaries and jurisdiction
(Municipal Code Section 14.08.180).
4. The Walnut Hills Mutual Water Company is within the Templeton C.S.D. sphere of influence. It is
appropriate that Templeton C.S.D. consider consolidation or annexation.
5. The infrastructure serving these developments was not constructed to City standards. Consolidating these
systems would cause an undue burden on the City’s Tax and Ratepayers whose infrastructure was built to
City standards before it was accepted—by receiving sub-standard infrastructure, the City would be
committing to long term liability associated with its operation and eventual replacement. And, bringing
existing utilities within the subject developments to City standards and extending utilities service to these
areas, the City Tax and Ratepayers would be subsidizing these developments.
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6. Any money the City spends on improving the utilities serving these areas would open the City to a
Proposition 218 lawsuit. The rate payers of Paso Robles would essentially be subsidizing these
developments when any repair or upgrade is completed. This is a clear violation of Prop 218 as the City
can only spend money on projects and maintenance that are covered in the rates presented to the voters.
7. The City would have no control over these un-annexed areas in instances where water use restrictions are
put in place. This would put the City at risk of State fines during a drought declared emergency.
8. Annexation are complex, multi-year projects that typically require a minimum of 5-10 years to complete and
are costly. Any area where a sphere of influence is needed would take even longer. Both require
substantial funding, and those costs could not be paid by the City. It is also unlikely that every landowner
would vote in the affirmative for annexation. A no vote would leave areas outside the City, and the City
would not be able to serve them with water. Lastly, the City would require that all the infrastructure be
brought up to City Standards. This would be prohibitively expensive for the landowners. The quickest
viable alternative is for the County to step in and assume responsibility for providing long-term service
solutions.
Should you have any questions, please contact Associate Planner Darcy Delgado, or City Planner Darren Nash
at 805.237.3970.
Sincerely,
Christopher Alakel
Utilities Director
cc: Warren Frace, Community Development Director
Darcy Delgado, Associate Planner
Darren Nash, City Planner
Leslie Frasier, City Engineer/Deputy Community Development Director
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