The great trade-off: How SLO County’s housing crisis got worse — again | Opinion

The ink on the lawsuit settlement over the Dana Reserve project in Nipomo is barely dry, and already the cost is being measured — not in dollars, but in homes, trust and opportunity.

For years, San Luis Obispo County leaders have promised to prioritize affordable housing, citing statistics that paint a dire picture: Only 19% of local families can afford the median-priced home.

We’re not just behind on meeting our state-mandated housing goals — we’re flunking them. Of the 3,354 affordable units the county is supposed to permit by 2028, we’ve barely scratched the surface. And as of this April, just seven very-low-income units have been approved in the unincorporated areas since 1994. Seven.

That’s why this lawsuit settlement over Dana Reserve should infuriate anyone remotely concerned about affordability in this county. The number of deed-restricted, affordable apartments has been cut in half, from 156 to 78.

One hundred accessory dwelling units — added at the urging of the Planning Commission to encourage affordable options — have been wiped out. And overall, multifamily housing — the most likely to serve working families — has been trimmed by 10%. In exchange, we get to save 195 oak trees.

Let me be clear: Conservation matters. Trees matter. But so do people. And at a time when families are being priced out, workers are commuting further and communities are hollowing from the inside, the optics of this trade-off are bleak. It’s a painful irony that the very critics who sued Dana Reserve for not being affordable enough are the ones responsible for gutting the affordable component.

And where are our county supervisors in all this? Nowhere near where they promised to be.

Supervisors Jimmy Paulding and Bruce Gibson — both of whom voted against the project in 2024 — claimed affordability was a sticking point. Paulding, who represents Nipomo, penned a viewpoint for The Tribune decrying the project’s “mere 30%” affordable housing share. That number is now even lower.

So what now? Here’s where it gets awkward.

Paulding had a rocky relationship with Dana Reserve developer Nick Tompkins long before the project was approved.

It started with a political grudge. During the 2022 election campaign, Tompkins contributed to “Back the Badge,” a pro-incumbent PAC supporting Lynn Compton — Paulding’s opponent.

Tompkins didn’t hide his support. Paulding didn’t forget it. Their feud spilled over into public meetings and campaign rhetoric. By the time Paulding won, his opposition to Tompkin’s project appeared to be etched in stone.

That history is now coming home to roost. If the revised Dana Reserve clears the county’s approval process and goes back the board, Paulding’s vote is no longer about housing or planning. It’s about pride and ego.

If he votes yes, he risks alienating supporters who still hold a grudge against Tompkins, and that could affect his reelection chances. If he votes no, he reinforces the idea that his political biases outweigh the urgent needs of working families desperate for a place to live.

Either way, his credibility takes a hit — and some of his constituents are left holding the bag.

This isn’t just about Paulding, though. It’s about the failure of our entire county leadership to stay focused on solutions. The Dana Reserve project — despite its flaws — was one of the most ambitious attempts to create a mixed-income community in South County. It included everything from deed-restricted affordable units and down payment assistance to day care centers, grocery stores and even land for a Cuesta College campus.

Meanwhile, the cost of doing nothing continues to rise. The lawsuit has already delayed construction and driven up prices. Homes once projected to sell between $475,000 and $725,000 in 2024 will now cost more. Add to that the $40 million in new infrastructure needed to make the project viable, and it’s easy to see why developers hesitate to build anything affordable here.

San Luis Obispo County has become a masterclass in how good intentions die in courtrooms and how politics gets in the way of policy. It’s a place where oak trees get more protection than working families. Where leaders campaign on affordability and legislate in fear. Where the loudest voices in the room can kill 78 homes for the price of a settlement check and call it a win.

Being able to provide affordable housing is what will keep SLO County afloat. But we’re not floating — we’re sinking. And with every missed opportunity like Dana Reserve, we lose more than homes. We lose the ability to call this place home at all.

Aaron Ochs is a Morro Bay columnist and author of “Defamers: How Fake News Terrorized a Community & Those Who Dared to Fight It.” Read more of his work on Substack at aaronochs.substack.com.