Half Moon Bay City Council Regular Meeting - May 5, 2026

The Half Moon Bay City Council met on Tuesday, May 5, 2026, at approximately 6:00 p.m. local time. The meeting included proclamations, presentations, public forum, and action on several agenda items, including the repeal of local rent control and the approval of the 555 Kelly Avenue affordable housing project.

Consent Calendar

• Approved items 9A (waive reading of ordinances/resolutions), 9B (minutes of April 21, 2026 special meeting), 9C (minutes of April 21, 2026 regular meeting), 9D (minutes of April 28, 2026 special meeting), 9F (memorandum of agreement for San Mateo County Regional EV charging project), 9G (2026 Half Moon Bay Sanitary Sewer Management Plan update), 9I, and 9J (updated mayor's list of council representatives).
• Items 9E (repeal of rent control) and 9H (auditing services agreement) were pulled for separate discussion.

Public Comments & Testimony

• Mental Health Awareness Month: Emma Ta, member of Alcove Youth Advisory Group, accepted the proclamation and shared her personal struggles with mental health. She noted that 20% of high school students seriously consider suicide and 9% attempt suicide, according to the CDC.
• Peninsula Clean Energy (Westlight Energy): Mark presented on the organization's 10-year savings of $2.7 million for Half Moon Bay ratepayers, $936,000 in local investments, and the upcoming name change to Westlight Energy. Former councilmember Harvey Rarback praised the organization.
• Public Forum (non-agendized): Multiple speakers addressed the 2023 farm worker shootings and housing conditions, urging the council to move forward with affordable housing. Stacey McCarthy, Joaquin Jimenez, and Emma Tom (who disclosed three suicide attempts) spoke passionately about the need for housing and mental health support.
• Item 9E (Rent Control Repeal): Over a dozen speakers opposed the repeal, including Joaquin Jimenez, Joanne Rokowski, Carolina Carvajal, and others. They argued that rent control was temporary until adequate housing was built, and that the repeal harms vulnerable residents. Speakers cited high rents (e.g., $3,835 for a two-bedroom apartment) and the lack of affordable housing. Only a few speakers supported the repeal, citing state law and landlord concerns.
• Item 11A (555 Kelly Project): Extensive public comment, with approximately 25 speakers. Supporters included State Senator Josh Becker's representative, Mercy Housing, farm workers (Ramon Sonoki, Felix Torres), and community advocates. Opponents raised concerns about building height, parking, traffic, and the use of on-demand transit as a major transit stop. Councilmember Nagengast noted that the community had raised concerns about process and vague language.

Discussion Items

• Item 9E: Repeal of Residential Rental Registration and Rent Stabilization: Vice Mayor Penrose expressed sadness, noting the program cost the city nothing and protected vulnerable renters. Councilmember Nagengast argued that the ordinance was flawed and could be repaired, but instead it was eliminated. After debate, the council voted 3-2 to approve the second reading of the ordinance repealing Chapters 6.04 and 6.06 of the municipal code. Councilmember Brownstone and Vice Mayor Penrose voted no; Councilmembers Johnson, Nagengast, and Mayor Ruddick voted yes.
• Item 9H: Amendment to Agreement with Mason Associates for Auditing Services: Councilmember Johnson requested that the item be continued until the city's base audit for the current year is provided. The council voted unanimously to continue the item.
• Item 11A: 555 Kelly Avenue Affordable Housing Project: The council considered the second reading of an ordinance approving the affordable housing and property disposition agreement, ground lease (99 years at $1 per year), and related documents for a 40-unit senior farm worker housing project. Councilmember Johnson expressed support, citing community input and design improvements. Vice Mayor Penrose supported the project, emphasizing the need for dignified housing for farm workers. Councilmember Nagengast opposed, citing concerns about vague language (e.g., definition of agricultural worker), financial sustainability (subsidies of $8,026 per unit per month), and the process that led to using on-demand transit as a major transit stop. Mayor Ruddick also opposed, raising concerns about the use of a major transit stop designation and the project's financial risks. The ordinance passed 3-2 (Johnson, Penrose, Brownstone yes; Nagengast, Ruddick no).
• Item 11A (Grant Agreement): The council then considered a resolution approving a $2 million grant agreement from state funds secured by Senator Josh Becker for the 555 Kelly project. The vote was also 3-2, with the same breakdown.
• Remaining Items (11B-11E): The council voted unanimously to continue the remaining items (CIP discussion, etc.) to a future meeting.

Key Outcomes

• Repeal of Rent Control Passed (3-2): The ordinance repealing Chapters 6.04 and 6.06 (residential rental registration and rent stabilization) was adopted. The program had covered approximately 1,500 rental units, with only 6-9 units removed from the market during its existence.
• 555 Kelly Avenue Project Approved (3-2): The council approved the ordinance and grant agreement for a 40-unit affordable housing project for senior farm workers, including a 99-year ground lease and $2 million in state grant funding. The project includes 10% of units for households at or below 30% AMI and 29 units at or below 50% AMI, with tenant preferences prioritizing Half Moon Bay senior farm workers.
• Audit Contract Continued: The item with Mason Associates was continued until the city's base audit is presented to council.
• Remaining Agenda Items Continued: Items 11B through 11E were continued to a future meeting.
• Future Agenda Item: Councilmember Johnson requested that a policy be brought back stating that no council meeting documents may be distributed later than 3:00 p.m. on the day of the meeting, and that council members be notified if documents are added late.