Solvang took its first steps toward possible expansion last week.
The City Council unanimously voted to work with the Local Agency Formation Commission to amend the city’s sphere of influence, which identifies areas that are currently outside the city but are likely to eventually become a part of it.
The council also approved a report and recommendation from the city’s Urban Boundary Exploration Committee, which was tasked with evaluating whether Solvang should “grow inward” or “grow out.”
The City Council established the 13-member advisory board in November of last year.

Growing inward would mean higher density, taller structures and reduced zoning standards to build new houses.
Growing out would include expanding beyond the city’s urban growth boundary, which prohibits growth of the city outside of its boundaries without voter approval.
The committee also established a list of baseline facts before moving forward with its recommendations.
Those facts included expanding the city to the east and west, expanding the city’s sphere of influence and establishing that any future development to the city limits must “deliver tangible benefits to the entire community,” per the report.
One of those benefits includes maintaining fiscal neutrality. That means ensuring any expansion is revenue-neutral or net-positive, so residents would not subsidize the costs of new services in annexed areas.
Any official change to city boundaries would require a majority vote from citizens.
In order to stay within the city’s current limits while meeting state housing mandates, Community Development Director Rafael Castillo said the city would need to make “tougher infill decisions.”
That would include potentially raising building height limits from 35 feet to 40 feet and eliminating parking requirements for new housing developments.
The city also hopes to expand its boundaries to include its wastewater treatment plant, which is currently located outside both its limits and sphere of influence.
Mayor David Brown described the decision as a “preemptive strike” in anticipation of future state mandates, such as the Regional Housing Needs Allocation, which requires Solvang to plan for a specific number of housing units every eight years.
Additionally, the city’s water security issues are driving the need for city growth, staff said. Residents currently pay $85 per month for an inconsistent State Water supply.
“What do you do when you’re a small city being mandated to do big city things? That’s our dilemma,” Brown said.

