During council comments on May 22, 2025, several Capitola council members asked staff to provide an informational update to the community about the status of the Castle mobile home park and related negotiations with RTC and other parties, and to outline what assistance the city might be able to offer residents facing a July 1 timing concern.

Council member Jensen raised the issue after public comments and asked staff to bring back an overview at the June 12 meeting describing what is known about easements, the status of any tolling agreement between the park owner and third parties, and whether city loan programs or other assistance are in place for affected residents. Jensen said the park’s residents are “our community” and emphasized the city’s historical role in supporting mobile home parks and low‑income housing.

Staff told the council they were not current on negotiations but said they could return with an update; staff also noted they believed there may be discussions around a tolling agreement and would confirm whether that had occurred. Council members noted the city has some loan programs tied to park residents and asked that staff cover any city exposures or commitments and explain how the city can assist residents if needed.

Council members expressed that the city should facilitate discussions because the RTC’s relationship with the park owner differs from the city’s and the city can help “be at the table” to pursue compromise to move regional transportation projects forward while protecting residents. No formal action or vote was taken; the council requested the staff update and directed coordination with the legal department as needed.