Novato State of the City 2026 Address and Community Q&A - February 5, 2026
Novato State of the City 2026 Address and Community Q&A - February 5, 2026
The Novato Chamber of Commerce and the City of Novato co-hosted the annual State of the City address on February 5, 2026, at 6:15 PM (reflecting the transcript's 'good evening' timeline). Chamber President Christina welcomed attendees, including elected officials (County Supervisor Eric Lucan, Mayor Rachel Farrakus, Mayor Pro Tem Kevin Jacobs, Council Members Pat Eklund, Sandeep Carkel, Tim O'Connor) and recognized new chamber members (over 100 in the past year) and sponsors. City Manager Amy Cunningham delivered the keynote address, highlighting achievements, challenges, and future plans, followed by a public Q&A session.
Key Accomplishments & Financial Progress
- The city adopted its first balanced budget in more than five years, a milestone attributed to the passage of Measure M (a sales tax initiative approved in November 2024).
- Measure M is funding deferred maintenance, long-term liability reduction, innovation, and emergency reserves.
- Labor agreements were reached that are fair, competitive, and aligned with long-term financial stability.
- Staff turnover has decreased, and applicant numbers for open positions are at record levels.
Infrastructure & Public Works
- Street paving completed on Roland Boulevard, Grant Avenue, Sherman Avenue, and others.
- Grant Avenue Bridge Project completed after 15 years.
- Novato Boulevard improvements ongoing: PG&E undergrounding is delayed beyond the initial spring 2026 completion estimate; the city, water district, and sanitary district will proceed after PG&E's phase.
- All of Avenue will receive roadway improvements.
- Two new Measure M-funded maintenance workers have improved pothole and park maintenance and weed abatement.
Parks, Recreation & Community Spaces
- New playgrounds opened: Pioneer Park (2024) and Joseph Hogue Community Park (December 2025, with inclusive design).
- Hamilton Amphitheater Park improvements planned following the Parks Master Plan.
Economic Development & Business
- A new full-time Economic Development Manager (Katie Shirking) hired via Measure M.
- Tenant Improvement Grant Program reinstated for downtown businesses.
- New businesses opened: Rustic Bakeries (second location), Teriyaki Madness, Lucky Cat Bistro (Vietnamese), Made Local Marketplace relocation, Green Fireplace Solutions, Soda Pop (new owner), Cag Stand Brewing (rebranded).
- Dutch Brothers Coffee received unanimous Design Review Commission approval for a new location at the downtown Novato Center (behind CVS).
- Wine Down wine bar (on Redwood near Beercraft) in the permitting process.
- Costco Fuel environmental impact report in progress; Planning Commission review scheduled for March 2026.
- Economic Development Strategic Plan development underway with public engagement opportunities.
- Shop Local Novato initiative refreshed; over 50 businesses featured on new Grant Avenue banners.
Housing & Development
- Fireman's Fund site demolition began in September 2025; plans call for 1,000–1,300 new homes.
- Habitat for Humanity project at Redwood Boulevard (80-unit affordable housing) received an additional $1 million in city grant funding; described as the largest project of its kind in California.
- Downtown mixed-use projects: about 400+ new housing units with ground-floor commercial proposed.
- Former Novato Theater site: proposal for a three-story building with 8 residential units and ground-floor retail.
- The Lodge on Novato Creek: a 55-unit senior assisted living facility with 31 memory care beds.
- Additional 800 housing units in the pipeline (single-family and apartments, either approved, under review, or pending).
- Just Cause Ordinance for tenant protections to be brought to City Council in April 2026.
Public Safety & Community Services
- Police Department staffing at strongest in years; Youth Academy underway.
- SAFE program (Specialized Assistance for Everyone) launched in partnership with Petaluma People Services Center, providing civilian crisis response for mental health, substance use, and homelessness.
- E-bike safety PSA video produced in collaboration with multiple departments.
- Novato Police dispatchers handled increased 911 calls when other Marin County dispatch services went down during recent storms.
Sustainability & Climate
- Climate Action Plan 2030 and General Plan Safety Element adopted.
- Sustainability Commission developing a prioritized work plan (expected in 2–3 months).
- Partnership with People with Disabilities Succeeding (PDS) for downtown beautification and park maintenance.
Public Comments & Testimony
During the Q&A session, audience members raised the following:
- Hannah Ranch litter: A resident reported increasing garbage visible from the freeway. City Manager responded that the city had contacted brokers to clean up the private property.
- Economic investment: A question asked about Novato’s biggest opportunities to attract new investment. Manager cited the upcoming Economic Development Strategic Plan and partnerships with the Chamber and Downtown Business Association.
- Efficiency with taxpayer dollars: In response to a question, Manager noted the new online permit portal and upcoming financial system upgrade, and encouraged public participation in budget workshops.
- Sherman Group proposal: A question about two city-owned parcels on Sherman Avenue. Manager confirmed conversations are ongoing; an exclusive negotiating agreement expires in May 2026, so a decision is expected soon.
- Landlord accountability (Cheryl Paddock, CEO of North Marin Community Services): Asked about plans to hold property owners accountable after the displacement of residents at 6 Romar Court. Manager announced a Just Cause Ordinance will come to council in April 2026, with community input sought now.
- Novato Theater development: A resident asked about the number of units (approx. 8 residential) and retail type. Manager stated it’s privately owned and proposals are being evaluated for financial feasibility.
- Climate resilience investments: A question on investments for fire, flood, heat threats. Manager referenced the adopted Climate Action Plan and the Sustainability Commission’s upcoming prioritized work plan.
- Downtown vacancies (Dr. Shannon Wood, owner of B12 Lab): Expressed frustration that many property owners are not leasing spaces. Manager directed to the Economic Development Manager for specific help.
- Fireman’s Fund demolition waste: A question about waste management. Manager confirmed the contractor submitted a debris plan complying with city recycling/reuse ordinances and is being monitored.
- Recology landfill expansion: Manager deferred, noting it was not under her purview.
- SMART depot downtown: A resident asked about revitalization. Manager said it is under consideration as part of the Economic Development Strategic Plan.
- Tent village near Hamilton skate park: A resident raised concerns about tents and debris. Manager acknowledged the complex issue, described ongoing work with the homeless union, fire district for vegetation management, SAFE team engagement, and grant-seeking for additional services.
Key Outcomes
- Adoption of the first balanced budget in over five years, enabled by Measure M.
- Labor agreements reached, improving staff retention and recruitment.
- Approval of Dutch Brothers Coffee drive-thru location by Design Review Commission.
- Just Cause Ordinance to be presented to City Council in April 2026; community outreach currently underway.
- Economic Development Strategic Plan to be developed with public input.
- Novato Boulevard undergrounding delayed beyond spring 2026; new timeline pending.
- Grant Avenue Bridge project completed.
- Climate Action Plan and Safety Element adopted; implementation priorities to follow.
- The city will host budget pop-ups and workshops to gather public input on priorities.
Meeting Transcript
Well, thank you all for coming. Good evening. Welcome to our state of the city for 2026. On behalf of the Novato Chamber of Commerce and our proud partnership with the City of Novato, it is my honor to welcome you to our State of the City address. Today, we come together as a community to celebrate our accomplishments, reflect on the challenges that we've overcome, and look forward to the exciting opportunities that lie ahead for our city. Novato is a place where businesses thrive, families grow, and neighbors come together to make a difference. Events like this remind us of the strength and collaborate, the strength of our collaboration and the shared vision we have for a vibrant, innovative, and inclusive community. We continue to work hard towards the chamber's mission of striving to create a strong economy where Nevado businesses can thrive. You know, since the last time that we were here together last year, the Novato Chamber welcomed over 100 new members to the chamber. And I don't know about you, but that shows me that Novato is thriving and Novato is really moving up. Another way we build together happens by events like this tonight. Partnering with the city. We're listening to each other. We're learning and we're taking positive steps forward. So we are grateful to all of you joining us today. Your engagement, support, and dedication are what make Novato such a remarkable place to live, work, and grow. This evening, we are joined by some of our elected officials. We have County Supervisor Eric Lucan joining us this evening. And our council members, we have Mayor Rachel Farrakus here. Our mayor Pro Tem, Kevin Jacobs, and our council members, Pat Eklund, Sandeep Carkel, and also Tim O'Connor. Welcome. Thank you so much for joining us. I know there's also past mayors and council members. So we would love to welcome you. If that's you, raise your hand if you're a past. Thank you so much for joining us and staying engaged with the community. I also am very lucky. I have an incredible board of directors. Those of you who work with boards know how how important they are. And I have a wonderful board of directors led this year by Denise Athis. She's here with us tonight. And if I missed you, please holler at me. But I have Richard De Ramone, Jeremy Hogan, Sess Charette, Mary Janice, Tom Young, and Rogan Buck, George Athis, and Patty Yu, and Leo Vicarian. And last but not least, I do want to say hello and welcome to our premier annual sponsors. These sponsors help us put on events like this throughout the entire year. So thank you, Redwood Credit Union, Mayan Builder, General Contractor and Landscape Design, Poppy Bank, and Ultra Genics Pharmaceuticals. So give them a hand tonight. And I've heard a rumor and I believe it that the Novato Chamber is the most busy chamber in Marin County. I believe that. We love to fill your calendar with ways to connect with other businesses. You know, we believe at the chamber that people like to do business with people that they know. So we create opportunities for you to be known and to know other businesses. So here's a couple of events coming up that I would love to see you at. Our next mixer is on February 19th, and that is going to be at the Quest Church. It's free to attend. You're all welcome as my guests, and it will be from 5:30 to 7 p.m. We have win every Wednesday morning on Zoom from 8 to 9. And I know what you're thinking. Networking on Zoom, how many people show up? Almost 40.
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