Reports of trouble

As we steam into the weird interstitial period between Thanksgiving and Christmas, we’ve got our eyes on two big reports from the Little Hoover Commission and the Public Polling Institute of California that dropped this month. They make for good cold-weather reading, particularly if your genre of choice is horror with a (potentially) happy ending. Plus, the SF Chronicle helps you find your CA city of destiny based on your favorite weather. Onward!

UP IN FLAMES: CALIFORNIA’S HOME INSURANCE MARKET

California’s homeowners insurance market is in turmoil. Premiums are climbing, coverage is shrinking, and frustrated homeowners are increasingly turning to the pricier FAIR Plan, the state’s last-resort insurer. Meanwhile, insurers are begging for regulatory reforms like catastrophe modeling and accounting for reinsurance costs. The Little Hoover Commission’s new report, “Building a Stronger Home Insurance Market for California,” proposes 11 actionable reforms to stabilize the market and improve transparency. The Commission’s key recommendations include public oversight of catastrophe modeling, incorporating mitigation efforts into rate-setting, and creating a shared data clearinghouse on property risks. The report also calls for the Department of Insurance to modernize its website and for the expansion of homeowner fire mitigation programs.

READ THE REPORT.

Everything you should know

- BUDGETARY ROLLERCOASTER — California’s Legislative Analyst's Office spilled its annual fiscal tea shortly before the Thanksgiving holiday: The state is cruising into 2025 with a “balanced” budget, or as balanced as you can get with a $2 billion deficit. That’s pocket change in Sacramento terms, but the real story is what’s lurking on the horizon. Forecasts show annual deficits creeping upward, a sign that big spending dreams might face a harsh reality check. The state’s finances remain tethered to the fortunes of tech giants and high-income taxpayers—great when stocks soar, dicey when they don’t. Adding to the strain, voter-approved initiatives will tack on an extra $3 billion in costs, with no magic revenue stream to cover it. Translation: today’s budget balance might feel solid, but California’s fiscal tightrope act is wobblier than it looks. Policymakers will need to decide what gives first—program expansions, voter promises, or reliance on volatile tech riches. Cap Radio

- UNNERVING NEW REPORT — The summer of 2024 broke heat records worldwide, and California was no exception. Climate change is broiling the Golden State and the Public Policy Institute of California is out with a sobering new report about the stakes of inaction — and what we can do to prepare for the trials ahead. Whiplashing between extreme droughts and catastrophic floods, diminishing snowpack, rising seas, and wildfire-fueling dry landscapes, the challenges are mounting. We’ve made strides in mitigating climate change—flatlining urban water use despite population growth and reforming groundwater management—but the future demands more. The PPIC report highlights two prime opportunities for reform: revamping freshwater ecosystems and rethinking flood management. Our history of innovation proves we can adapt, from restoring ecosystems to leveraging floods to recharge groundwater. The work ahead is daunting but doable—and necessary. Read the full report to learn how. PPIC

- PAY MORE, WASTE MORE? — California’s solar boom is shining a spotlight on the state’s puzzling energy paradox. While it leads the nation in solar power production, more than 3 million megawatt hours were wasted last year—enough to power half a million homes. Why? A glut of midday energy forces shutdowns, with solar plants sometimes paying traders to offload the excess. Californians foot the bill, while other states reap cheap, green power. The kicker? Prices spike at night when solar isn’t available, and ratepayers face soaring bills. Critics call this a sign of overbuilding renewables without adequate storage, while Arizona and hedge funds cash in. California’s solution: more batteries, bigger grids, and a dream to fix its sun-drenched paradox before ratepayers revolt. LA Times

Mr. YIMBY Goes to Washington

Well, he’s been in Washington for two years already, but Rep. Robert Garcia is headed back for his second term in office and he’s creating the first YIMBY Caucus in the U.S. Congress, a bipartisan effort kicking off with 25 initial members. Has your representative signed on yet? If not, get in touch with your Congressperson and tell them to get with the program!

https://x.com/RobertGarcia/status/1859640612313772515

A Garden Grows in Compton

Alma Backyard Farms in Compton is redefining urban agriculture by transforming vacant lots into vibrant community farms. Founded by Richard Garcia and Erica Lomeli, the nonprofit offers formerly incarcerated individuals a fresh start through farming. The innovative urban farming initiative recently received the NY Times photo essay treatment, and it is stunning.

 Click here for How Brunch Came to a Backyard Farm in Compton.

NCC Advocacy Win

In direct response to advocacy by the New California Coalition, Governor Newsom unveiled the framework for the forthcoming California Jobs First Economic Blueprint — a first-of-its kind, bottom-up strategy for creating good-paying jobs and regional economic development — on November 21. We applaud the state’s efforts to create a healthier environment for businesses to thrive, and we stand ready to advance the cause at every available opportunity.

Find your California Climate

What California city has the best weather for you? The San Francisco Chronicle gathered data about temperature, precipitation, air quality and extreme weather for 61 places across California, including the 20 most populous cities with data available, then baked it into a quiz to help readers determine where they truly belong (if weather is your deciding factor).
Check it out!

Click here to take the quiz What City Has the Best California Weather for You.