Thu, Feb 5, 2026·Novato, California·City Council

Novato State of the City Address and Community Q&A (2026-02-05)

Discussion Breakdown

Economic Development19%
Fiscal Sustainability12%
Engineering And Infrastructure12%
Affordable Housing11%
Community Engagement10%
Personnel Matters10%
Environmental Protection6%
Public Engagement6%
Homelessness6%
Public Safety5%
Parks and Recreation2%
Mental Health Awareness1%

Summary

Novato State of the City Address and Community Q&A (2026-02-05)

The City of Novato and the Novato Chamber of Commerce hosted the 2026 State of the City, featuring remarks from City Manager Amy Cunningham on fiscal stabilization, Measure M implementation, staffing and service delivery improvements, public safety initiatives, infrastructure and parks upgrades, economic development efforts, housing pipeline updates, and climate/resilience planning. The program concluded with a moderated public Q&A focused on code enforcement/landlord accountability, climate resiliency implementation, private commercial vacancies, homelessness impacts, and statuses of specific redevelopment proposals.

Public Comments & Testimony

  • Cheryl Paddock (CEO, North Marin Community Services): Expressed concern about uninhabitable apartment conditions and displacement (citing the Romar Court displacement), and urged greater accountability for apartment owners/property managers.
  • Member of the public (Novato Theater property): Asked for details on unit count and desired retail uses in a potential Novato Theater redevelopment.
  • Member of the public (climate resiliency): Asked what investments are being made to increase climate resiliency for fire, flood, heat, and other threats.
  • Member of the public (shopping center vacancy): Asked about plans for the other CVS-area shopping center (described as underutilized/“Zombie Square”), expressing concern about vacant retail.
  • Dr. Shannon Wood (Owner, B12 Lab): Expressed frustration that commercial spaces are difficult to lease, stating some property owners appear unmotivated or unwilling to lease, and asked how the city/community can address this.
  • Member of the public (Fireman’s Fund demolition waste; landfill updates): Asked what was done with waste from the Fireman’s Fund demolition and requested updates on Recology landfill expansion/permits.
  • Member of the public (SMART depot): Asked for updates on revitalizing the train depot next to SMART.
  • Member of the public (Hamilton skate park encampment): Raised concerns about a tent encampment and debris near the Hamilton skate park, while also expressing a desire for people to find housing.

Discussion Items

  • Organizational and fiscal status

    • City Manager reported adoption of the first balanced budget in more than five years and described Measure M as enabling stabilization, deferred maintenance investments, reserve replenishment, and innovation.
    • Noted labor negotiations concluded with agreements described as fair, competitive, and aligned with long-term financial stability; reported decreased turnover and a record number of applicants.
  • Public safety and emergency response

    • Reported police staffing is at its strongest in years; department outreach underway for a strategic plan.
    • Highlighted e-bike safety public education efforts.
    • Described dispatch support during storms when other agencies’ dispatch services went down.
    • Introduced the SAFE program (Specialized Assistance for Everyone) as an alternative response pilot with civilian responders addressing mental health, substance use, and homelessness-related crises.
  • Parks, recreation, and permitting modernization

    • Reported completion of new playgrounds at Pioneer Park and Joseph Hogue Community Park; referenced planned improvements at Hamilton Amphitheater Park per the Parks Master Plan.
    • Described significant changes to permitting: a new online permit portal, Express Permit Services, and an all-agency permit advice center.
  • Economic development and downtown vitality

    • Measure M-funded economic development manager hired; tenant improvement grant program reinstated (matching grants supporting property improvements).
    • Economic Development Strategic Plan announced as the next “roadmap” for business attraction and downtown vibrancy.
    • Downtown beautification funding described (Grant Avenue tree lights/planters) and “shop local” marketing updates (including banners featuring more than 50 businesses).
    • Business activity updates included openings and transitions (e.g., Rustic Bakery second location; new restaurants; brewery ownership/name change).
    • Project statuses mentioned: Dutch Bros received unanimous Design Review Commission approval for a downtown location proposal (new building with drive-thru behind CVS); Wine Down in building permit process; Costco Fuel EIR in progress with Planning Commission reviews expected next month.
  • Housing pipeline and state-law constraints

    • Described state law limits on local discretion regarding location, density/height, and parking.
    • Reported proposed downtown mixed-use projects could add 400+ housing units with ground-floor commercial.
    • Cited additional projects: a potential redevelopment of the former Novato Theater site (described during Q&A as roughly about maybe eight residential units with ground-floor commercial, still being evaluated for feasibility), Lodge on Novato Creek (55 assisted living units and 31 memory care beds), and the former Fireman’s Fund site (estimated 1,000 to 1,300 new homes planned).
    • Noted Council approved $1 million additional grant funding for Habitat for Humanity (Redwood Blvd) described as an 80-unit affordable homeownership project.
    • Reported approximately 800 additional units in the broader pipeline (approved/under review/pending).
  • Infrastructure and transportation

    • Street paving program referenced (including Roland Blvd, Grant Ave, Sherman Ave).
    • Reported completion of the Grant Avenue Bridge Project.
    • PG&E undergrounding on Novato Blvd continuing; project timeline delayed beyond the previously anticipated spring 2026 completion.
  • Climate, safety, and downtown activation

    • Reported adoption of the Climate Action Plan 2030 and a General Plan Safety Element update, including hazard planning (flooding, wildfire, sea level rise, evacuation planning).
    • Described partnerships to reactivate downtown kiosks and feature artwork (including work by Alchemia).
    • Reported contract with People with Disabilities Succeeding (PDS) to support downtown beautification and maintenance.
  • Future-facing projects

    • Previewed interest in the Ames Institute bringing art/design programming to the Birkenstock campus, with an expected future presentation to Council.

Key Outcomes

  • Measure M implementation framed as the primary driver of service restoration, staffing additions (including two maintenance workers and an economic development manager), and fiscal stabilization.
  • Design Review Commission action (referenced): Dutch Bros proposal received unanimous approval at the commission level (per City Manager).
  • Sherman Avenue city-owned parcels proposal: City Manager reported active discussions with the Sherman Group; stated the related agreement/authorization is expiring in May and the city is seeking conclusions/next steps soon.
  • Tenant protections/landlord accountability: City Manager stated a Just Cause ordinance is being developed with community outreach underway and is expected to go to Council in April.
  • Hannah Ranch cleanup: City Manager stated the site is privately owned; the city contacted brokers and requested cleanup, expecting progress within days.
  • Climate resiliency next steps: City Manager stated the Sustainability Commission is prioritizing the Climate Action Plan work program, with specific steps expected in 2–3 months.
  • Commercial vacancy concerns: City Manager emphasized ongoing contact with property owners/management and directed businesses to coordinate with the city’s economic development manager.
  • Fireman’s Fund demolition debris: City Manager stated the developer has a demolition debris plan complying with the city’s recycling/reuse ordinance and that compliance is being monitored.
  • SMART depot and Recology landfill questions: Depot revitalization noted as something to consider within the economic development strategic planning process; landfill update was not answered (outside speaker’s purview).
  • Hamilton skate park encampment: City Manager stated the city is aware and is coordinating with service providers (including the SAFE team and county/nonprofit providers), working on vegetation management and cleanliness, and exploring grants for additional services.

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.