‘Concentrating Poverty’: City of Eureka to File Formal Appeal Over State-Mandated Housing Allocation
Isabella Vanderheiden / Thursday, Jan. 8 @ 4:21 p.m. / Housing , Local Government
A digital rendering of the Eureka Regional Transit & Housing Center, one of the city’s ongoing mixed-use affordable housing projects. | Image: City of Eureka.
###
The City of Eureka must plan for as many as 1,740 new homes over the next decade, including 967 units for low-income residents, to meet state housing mandates.
Eureka’s allocation makes up more than a third of the total number of units assigned to Humboldt County under the state’s Regional Housing Needs Allocation (RHNA) for 2027-2035, which requires the county to plan for 5,962 new housing units to accommodate population growth across all income levels.
Where could the city put all of those units, you ask? The Eureka City Council is wondering the exact same thing.
“I don’t know how we got to this point where Eureka is where we put all the housing,” Councilmember Scott Bauer said at Tuesday’s city council meeting. “I don’t understand where we’re going to put 1,740 units in town — we’re pretty well built out. Is that not a consideration?”
“No, it’s not,” said Development Services Director Cristin Kenyon.
Every eight years, the California Department of Housing and Community Development (HCD) reviews the current number of units in a given jurisdiction and compares it to population estimates and other economic growth factors to determine how many new homes a community should plan for. That figure is then passed off to a regional governing body — in our case, that’s the Humboldt County Association of Governments (HCAOG) — which decides how the number units will be split among cities and unincorporated communities.
“There are two steps to this allocation process,” Kenyon explained. “[One], how big is each jurisdiction’s overall allocation? — think of this as the size of each city’s ‘housing pie’ — and then two, how is the pie split by income category?”
The methodology is complicated. Along with the two data points Kenyon mentioned, HCAOG must also consider a city’s “opportunity score,” which is based on various economic, educational and environmental factors, as well as work-based vehicle miles traveled (VMT), which is how far, on average, a community’s residents travel to and from work each day. How each of those scores is adjusted and weighted will affect a city’s RHNA.
Table via City of Eureka.
“Eureka has really low vehicle miles traveled scores, and because that is weighted at 70 percent, it becomes the dominant factor for us, and results in Eureka being assigned more [low-income] units,” Kenyon explained. “We’re worried that this methodology and practice reinforce existing concentrations of lower-income housing in Eureka.”
In simpler terms, city staff is worried that the methodology HCAOG used concentrates too many low-income housing units in Eureka, which could prevent the city from creating other types of housing.
Staff sent a letter to HCAOG outlining the city’s concerns, but Kenyon said the city council could “elevate” the issue and submit a formal appeal.
Councilmember Leslie Castellano asked if the appeal process would delay the RHNA process for other Humboldt County cities. Kenyon said it would prolong the adoption process by another 45 days, kicking final adoption from March to May 2026.
Castellano acknowledged that she is a “pro-housing person” living in a “pro-housing city,” but felt the proposed RHNA would set a “concerning precedent” for Eureka.
“All of the research around healthy communities is saying that we want a robust mix of income levels in neighborhoods, and I definitely agree with that,” she continued. “I know that some folks wanted to push this forward because the City of Eureka is sort of the most likely to actually enact these housing things … but that’s kind of furthering some of the systemic challenges that are also at play.”
Councilmember Renee Contreras-DeLoach asked Kenyon to elaborate on the purpose of the VMT figure. “Is there a baseline assumption that because they’re traveling further, they would want to live closer?” she asked.
“Correct,” Kenyon said. “Transit is included in that composite score because … living in a place where you can access your job without a car is helpful if you’re living in poverty. It’s part of having access to opportunity. I mean, if you’re going to concentrate poverty anywhere, you would want to do it in an urban area with transit, but I would rather us not concentrate poverty period.”
Contreras-DeLoach agreed, adding that “it feels weird” to “shove people into one spot,” even if it’s under the guise of improving access to opportunities.
“I just think that when you’re poor, you still have a right to live in Rio Dell or Fortuna or Trinidad — you have a right to be in other places,” she said. “I don’t think people should assume that that means that people want to live in Eureka, nor does it mean that they should have to.”
The council asked Kenyon if she felt an appeal would be appropriate. “I’m so on the fence about it,” she said. “That’s why we brought it to you.”
After some additional discussion, the council unanimously agreed that staff should submit a formal appeal to HCAOG, with Mayor Kim Bergel expressing her support as well.
BOOKED
Yesterday: 8 felonies, 10 misdemeanors, 0 infractions
JUDGED
Humboldt County Superior Court Calendar: Today
CHP REPORTS
No current incidents
ELSEWHERE
RHBB: After Warehouse Tent Fire, Police Clear Soilscape Homeless Encampment at Property Owner’s Request
RHBB: Peggy Murphy Named Director of Humboldt County’s Economic Development Division
RHBB: Sidewalk Construction In Progress on Buhne Street in Eureka
County of Humboldt Meetings: January 2026 HCCCP Executive Committee Agenda
Trinidad Has Clean Water Once Again Following Large Leak and Multi-Day Shortage
Ryan Burns / Thursday, Jan. 8 @ 3:20 p.m. / Local Government
Trinidad Head, the City of Trinidad and environs. | Photo by Ryan Burns.
PREVIOUSLY
###
An emergency water shortage in Trinidad is coming to an end as municipal storage tanks slowly but surely refill and lab test results came back clean, city staff announced Wednesday evening.
Residents had been been advised to conserve water and boil any they consume after a large water main leak was discovered on Scenic Drive Saturday morning. The leak quickly and thoroughly drained the city’s 400,000-gallon storage tank, causing low pressure and outages, especially at higher elevations.
The boil-water notice was lifted after the State Water Resources Control Board determined the city’s supply is once again safe to drink.
Residents are still being asked to conserve water, report leaks and sign up for emergency alerts to stay informed.
“Water production at the Treatment Plant continues to increased due to favorable and improving weather conditions over the past 36 hours, and an incredible response from the Trinidad Public Works Department,” the city announced on its website. “After 3 days of recovery and supplemental water trucked in by a convoy of delivery vehicles, storage tanks are nearing 40% capacity (8 feet of water in two tanks that peak at 18’ when full capacity is reached), gaining nearly 1 foot each day.”
The Trinidad Chamber of Commerce was duly chuffed and issued the following press release about restaurants reopening:
Trinidad’s restaurants are welcoming residents and visitors back as local dining establishments reopen following the official cancellation of the citywide Boil Water Notice that was issued on January 3, 2026.
At 4:30 p.m. on Wednesday, January 7, 2026, the City of Trinidad was notified by Microbac Laboratories in Arcata that a second round of water quality testing returned clean results. Five water samples taken from various locations throughout the city’s water distribution system showed no bacterial contamination. Based on these findings, the Boil Water Notice was officially cancelled effective 5:00 p.m. on Wednesday, January 7, 2026.
With the notice lifted, affected restaurants are back open and ready to serve the public, including Trinidad Bay Eatery & Gallery, Moonstone Crossing Winery, Beachcomber Cafe, Headies Pizza & Pour, Lighthouse Grill, and Seascape Restaurant & Pier. The reopening marks a return to normal operations for businesses that are central to Trinidad’s local economy.
The Boil Water Notice was issued as a required public safety measure following a significant loss of water pressure caused by a water main leak on Scenic Drive in the early morning hours of January 3. The incident resulted in the depletion of the City’s water storage tanks and required emergency repairs, system flushing, and water quality testing in accordance with State Water Resources Control Board regulations.
City of Trinidad water staff worked continuously to repair the leak, restore service, flush the distribution system, and coordinate emergency and follow-up testing with the Humboldt County Health Department. The clean results from the second round of testing confirm that the water meets state drinking water standards.
While mandatory water conservation remains in effect as the City continues to rebuild water storage levels, restaurants have been cleared to reopen and operate.
The public is encouraged to visit Trinidad, enjoy local dining options, and support the restaurants that are central to the city’s North Coast experience. For more information, visit: https://www.trinidad.ca.gov/water/page/emergency-water-shortage-alert-01-05-2026
Rep. Huffman, Environmental Organizations and State Legislators to Hold ‘Educational Forum’ on Offshore Oil Drilling in Eureka
LoCO Staff / Thursday, Jan. 8 @ 1:46 p.m. / Environment
An oil platform off the Santa Barbara coast. Photo: NASA. Public domain.
Press release from the Environmental Protection Information Center
Educational Forum/People’s Hearing to Support Protecting the North Coast from Proposed Offshore Oil Drilling Happening in Eureka on January 18
WHAT: Community members will unite to display their support for protecting the North Coast from new offshore oil and gas development. The U.S. Department of Interior is proposing new offshore oil and gas leasing off California, including North Coast waters, in the next federal offshore drilling plan. The threats to our community and region from offshore oil and gas development, including potential oil spills, are not worth the risk. Community members are advocating for the protection of our coastline, coastal economy and a clean energy future.
WHO: Rep. Jared Huffman, Asm. Damon Connolly, and Asm. Chris Rogers, together with local elected officials and with experts from Humboldt Waterkeeper, Surfrider Foundation, the Center for Biological Diversity, and the Environmental Protection Information Center (EPIC).
WHEN: January 18, 2026 at 10am
WHERE: Wharfinger Building (1 Marina Way, Eureka, CA 95501)
REGISTER: Click here.
Sheriff’s Office Recaps Rescue of Lost Hiker in the Bald Hills Last Week
LoCO Staff / Thursday, Jan. 8 @ 11:43 a.m. / Emergencies
Press release from the Humboldt County Sheriff’s Office:
On Jan. 3, 2026, at approximately 2:30 a.m., the Humboldt County Sheriff’s Office Emergency Communications Center received notification from the California Office of Emergency Services (Cal OES) regarding a Garmin SOS Activation from a 19-year-old male hiker last known to be in the Bald Hills area near the Redwood Creek Trail in Orick.
HCSO patrol deputies, the Sheriff’s Office Special Services Unit, California State Parks and the Humboldt County Sheriff’s Office Search and Rescue (SAR) team, including a search K-9 responded to the scene and conducted a coordinated ground search with the assistance of a drone. The hiker was located at 9:28 a.m. and exhibited signs consistent with Hypothermia.
Emergency medical responded to the scene and transported the hiker to a local hospital, where he was treated.
The Humboldt County Sheriff’s Office extends its sincere gratitude to its volunteer SAR team. Their quick response, coordination, professionalism and dedication were instrumental in the successful outcome of this rescue.
HCSO also wants to thank our partner agencies for their response and support in this rescue operation, including California State Parks, Orick Volunteer Fire Department, Cal Fire, Cal OES and the Arcata Mad River Ambulance.
When a Garmin SOS is activated, the device transmits an emergency alert and GPS location via satellite to the Garmin International Emergency Response Coordination Center (IERCC), which coordinates with local and state emergency agencies to initiate a response. The hiker’s possession and activation of this device was a critical component in aiding in his rescue.
If you are interested in joining the Sheriff’s Volunteer Search and Rescue Team, please visit HumboldtSAR.org
Sheriff’s Office Busts Suspected Drug House Near Blue Lake; Two Arrested
LoCO Staff / Thursday, Jan. 8 @ 10:14 a.m. / Crime
Photo: HCSO.
Press release from the Humboldt County Sheriff’s Office:
On Jan. 7, 2026, the Humboldt County Sheriff’s Office Problem Oriented Policing (POP) Team served a search warrant at a residence located in the Larsen Heights area of Blue Lake. The warrant was the result of ongoing calls for service and multiple complaints regarding suspected drug related activity at the location.
During the service of the search warrant, deputies located approximately one ounce of Methamphetamine, 11 grams of Fentanyl, drug paraphernalia, and items consistent with the sale and distribution of controlled substances.
As a result of this investigation, 43-year-old, Katherine Rominger of Blue Lake and 22-year-old, Kylie Cook of Fortuna were arrested and transported to the Humboldt County Correctional Facility.
Rominger was booked on the following charges:
HS 11366.5(a)-Knowingly owning property for drug manufacture, storage or distribution
HS 11378-Possession of a controlled substance for sale
Cook was booked on the following charges:
PC 978.5-Bench Warrant/Failure to appear on felony charge
HS 11365(a)-Visit where controlled substances used
PC 1203.2(a)-Violation of probation
The Humboldt County Sheriff’s Office remains committed to addressing narcotic-related crimes and improving public safety through the proactive enforcement and community partnerships.
Anyone with information related to this investigation or other drug related activity or problems areas related to criminal activity are encouraged to call the Humboldt County Sheriff’s Office at (707) 445-7251 or the Sheriff’s Tip line at (707) 268-2539.
One Lane of Fernbridge Will Be Closed on Tuesday After a Crack Sensor Showed Movement in Recent Flooding, Though Caltrans Says the Bridge is Still Safe
LoCO Staff / Thursday, Jan. 8 @ 9:43 a.m. / Transportation
Photos via Caltrans.
###
Info via Caltrans District 1:
A one-day lane closure on Fernbridge is scheduled for next week on Tuesday, January 13, from 7 a.m. to 5 p.m.
This work is being done after one of the bridge’s crack sensors showed movement during recent flooding. While the bridge has been inspected and currently remains safe for travel, Caltrans survey crews will be on site to verify the sensor readings and reset control points so a full bridge scan can be done in the future if needed.
To limit impacts to travelers, the work will be completed in one longer day instead of multiple shorter closures. Work is scheduled from 7 a.m. to 5 p.m., and drivers should plan for 5- to 10-minute delays.
As a reminder, if a Caltrans facility remains open, it is safe for travel. Please plan ahead and use caution through the work area.
Gavin Newsom Joins Trump in Blaming Big Investors for Housing Crisis
Ben Christopher and Jeanne Kuang / Thursday, Jan. 8 @ 8:21 a.m. / Sacramento
Photo: Governor’s Office.
###
This story was originally published by CalMatters. Sign up for their newsletters.
###
In his final year in office, Gov. Gavin Newsom plans to go after large investors buying and owning California housing — in the same week that President Donald Trump also took rhetorical aim at Big Landlord.
It’s an unlikely meeting of the minds of two political foes who, in a race to head off the electorate’s concerns about affordability, have landed upon the same populist message: Blame Wall Street.
Newsom plans to say during his State of the State address to lawmakers on Thursday that he wants to work with them to regulate the practice of investors buying up large stocks of housing to rent out, forcing California residents to compete with them to afford buying a home, according to the governor’s office.
Proposals could include “enhanced state oversight and enforcement and potential changes to the state tax code,” according to the governor’s office.
“When housing is treated primarily as a corporate investment strategy, Californians feel the impact,” a source in the office said. “Prices go up, rents rise, and fewer people have a chance to buy a home.”
That sounds similar to a proposal Trump made on his social media platform Truth Social on Wednesday. The two previously closely aligned on policy related to clearing of homeless encampments.
“I am immediately taking steps to ban large institutional investors from buying more single-family homes,” the president wrote, sending stock prices of major publicly traded residential investment firms plummeting. He urged Congress to put the proposal into law and promised to unveil additional housing policy proposals at the World Economic Forum summit in Davos, Switzerland later this month.
Newsom is stopping short of calling for an outright ban on institutional investors’ ownership, though the source said he will seek to “curb” it with the goal of making home ownership more affordable for California residents.
He hasn’t yet proposed anything concrete. Whatever Newsom seeks to do, he’ll need the approval of the state Legislature.
Trump, for his part, did not offer any details about his proposal, such as how institutional investors would be defined under the proposed law or why he targeted single-family homes in particular. The White House’s press office did not respond to an email with those questions.
The twin announcements come after years of long-shot efforts by California progressives to address a surge in companies buying up single-family housing stock in the wake of the Great Recession. The issue has been the subject of renewed anxiety in post-fire Los Angeles, where a recent report by RedFin showed investors (loosely defined as any buyer with a name that includes “LLC,” “Inc” or “Corp”) have purchased 27 of 61 burned vacant lots that sold in Altadena — more than 40%.
Asked about that report in an interview on MS Now this week, Newsom said he had signed an executive order last year seeking to protect homeowners who find it too expensive to rebuild from falling for “predatory” lowball offers for their properties. But he acknowledged “the broader market conditions are challenging.”
The proposals mark new territory for Newsom’s housing affordability platform. The governor, now in his final year in office, has spent most of the past seven years focused on boosting construction. It’s a pivot toward populism for the governor, who is widely expected to run for president in 2028.
Blaming deep-pocketed investors for the nation’s housing woes has become an increasingly ideological-spanning exercise in recent years, with politicians as diverse as New York Rep. Alexandria Ocasio-Cortez and Vice President J.D. Vance championing the cause.
Shortly after Trump’s post, Republican Sen. Bernie Moreno of Ohio, an enthusiastic supporter of the president, promised to introduce legislation in his own post on X.
Is this actually a problem in California?
Many housing industry professionals, economists and policy researchers are skeptical.
“It’s really hard to buy a house right now so people are looking for someone to blame for that, but I think (institutional investors) are more of a symptom of the affordability crisis than they are a perpetuator of it,” said Caitlin Gorback, a University of Texas at Austin economist who has studied investors’ effect on local real estate markets.
Research on the topic is mixed, though most analyses have found that by taking owner-occupied homes and converting them into rentals, these companies tend to increase the supply of rentals. That puts downward pressure on rents, while taking away purchasable homes, leading to higher prices.
Fewer than 3% of all single-family homes in the state are owned by companies that own at least 10 properties.
That also takes away opportunities for would-be homeowners to buy a coveted single-family home. But even that comes with an under-appreciated upside, said Gorback: They provide more priced-out renters the opportunity to live in single-family homes — typically in wealthier, whiter and higher-resourced neighborhoods — something historically reserved for those who can afford to buy.
While apartment buildings are commonly owned and managed by large financial companies, single-family rentals weren’t seen as Wall Street-worthy money-making opportunities until the aftermath of the Great Recession. Since then, companies like Invitation Homes, Blackstone, Progress Residential and AMH Homes have typically focused on markets with relatively low prices and rapidly growing populations.
That doesn’t describe California. As a result, larger investors — however defined — make up a relatively small share of single-family landlords in the state. Fewer than 3% of all single-family homes in the state are owned by companies that own at least 10 properties, according to an analysis by the California Research Bureau, which conducts research for state lawmakers. A mere 20,066 are owned by firms with portfolios of 1,000 units or more. The largest of those owners is Invitation Homes, which owns over 11,000 homes in the state and reached a settlement with Attorney General Rob Bonta’s office last year over allegations it price-gouged tenants and illegally raised rents on more than 1,900 properties.
There are more than 16 million rental units across the state, according to Census data.
Though attacking big monied investors for the high cost of housing is a “huge distraction,” it has obvious political appeal, said Stan Oklobdzija, a UC Riverside public policy professor. “Attacking institutional investors is the latest iteration of appearing to do something without actually doing anything. …It’s just kind of archetypical cheap talk.”
For nearly a decade, Democrats in the state Legislature have proposed bills to track or ban the practice. Former Gov. Jerry Brown in 2018 vetoed a bill to create a registry of institutional investors that own 100 or more single-family homes, noting that “collecting the data would not stop the purchase of these homes by private investors.”
In 2024, lawmakers proposed banning investors that own at least 1,000 single-family homes from buying more houses and renting them out, prohibiting institutional investors from buying single-family homes for any reason and banning developers from selling entire new single-family subdivisions to investors to rent. All three bills died in committees.
Assemblymember Alex Lee, author of the first proposal, revived the bill last year. It passed the Assembly and awaits a hearing in a Senate committee.
Lee, a Democratic Socialist who has long critiqued the role of big money in the state’s real estate market, said he was “flabbergasted” to find himself on the same page with Trump, whom he described as a “far-right fascist.” Though he expressed doubts that the Trump administration would follow through with the promises the president made in his social media post, he said that “Democrats need to wake up to this populist, but righteous, position.”
“We can’t let the far-right capture the housing positions that the people care about,” Lee said.
Newsom evidently agrees.
