I believe an Arroyo Grande and Oceano merger should be on the table for discussion this election season.
In the 80s, the proposal of a combined Grover Beach and Oceano was turned down. That decision was probably for the best, because Grover Beach doesnt have the funds to annex Oceano and turn it into a revitalized neighborhood. On the other hand, Arroyo Grande is a slightly more affluent town with the funds to annex and revitalize Oceano.
Arroyo Grande has grown and yet maintained a great downtown. Arroyo Grande would benefit from an annexation of Oceano by gaining beach property and more revenue. Oceano businesses would benefit from the annexation by having steady leadership and a Chamber of Commerce that will promote businesses in Oceano.
Oceano would also benefit from more law enforcement making the area safer. Oceano could keep its neighborhood name, similar to Shell Beach in Pismo Beach.
Some negatives to the annexation would be less independence and slightly higher taxes for Oceano residents. With good planning, though, Oceano could become a place in South County where more tourists and residents want to do business.