Portola Valley Faces Financial Crisis Over Housing Mandates

Portola Valley, a wealthy California community known for its billionaire residents, is facing a financial crisis. The town's cash reserves are dwindling due to escalating costs, including a sheriff's contract that has recently doubled to $2.1 million and state-mandated construction of 253 low-income housing units, which locals claim lacks demand. Residents have spent over $1 million on consultants and invested substantial time in public meetings to negotiate a compromise that satisfies state requirements. However, more than 70% of town officials have resigned, leaving the remaining staff struggling to manage operations. Current cash reserves stand at approximately $1.6 million, most of which is earmarked for retiree benefits. Local officials express frustration that the state does not recognize the unique challenges posed by the town's affluent demographics.