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Consultant outlines plan to explore forming town in eastern Placer County
Summary
Steve Teixeira, speaking for Eastern Placer Future, told the Sunnyside-Tahoe City PED board that a 2023 fiscal study found incorporation could be financially viable; the group is pursuing a petition, community survey, and LAFCO application and says substantial fundraising will be required.
Steve Teixeira, a long-time regional consultant representing the Eastern Placer Future effort, told the board the group has raised initial funds and completed a preliminary fiscal analysis that indicates incorporation "could be" financially viable.
"The 1st thing we did was we raised about $33,000 to have an analysis done to see if this was even financially viable," Teixeira said, describing a 2023 review of Placer County revenues and expenditures. He said the group has formed a nonprofit public-benefit corporation to lead the effort and has received a $50,000 contribution from the North Tahoe Community Alliance toward early work.
Teixeira described the procedural path ahead: a petition drive (he said at least 25% of registered voters in the proposed boundary must sign), a Local Agency Formation Commission (LAFCO) review to set boundaries and service responsibilities, and then negotiations on revenue neutrality with Placer County if the petition advances. He said the group expects the community survey to finish soon and emphasized that incorporation itself "does not in any way mean a tax increase" by default.
Board members raised service and fiscal questions. One director noted overlapping parks services with the county and asked whether parks functions would transfer; Teixeira responded that initial plans would "start small," likely contracting with the Placer County Sheriff for police and leaving many special districts in place unless residents decide otherwise. Staff and board members discussed how transient occupancy tax (TOT) grants and other voter-approved earmarks would be treated if a town were formed.
Teixeira said the effort faces significant costs — petition gathering, consultants and legal work — and that the group has raised about $100,000 to date but will need more. He said the group is aiming to reach voters in time for an October placement on the November 2026 ballot if the petition and LAFCO steps succeed.
Board members asked staff to continue monitoring potential fiscal impacts on the district, particularly around parks and revenue allocation, and to stay engaged as the group's petition and LAFCO interactions proceed.
