Greetings, one and all. Thursday, July 24, is what Santa Cruz County is awakening to, with cloudy skies early and sun later as temperatures mostly head for the 60s and 70s.

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Christopher Neely reports on where things stand in the long-overdue efforts to overhaul the Pajaro River levee. While the 2023 breach that flooded the town of Pajaro generated much political momentum, that momentum has stalled as the Trump administration and congressional Republicans move to slash funding.

With Santa Cruz County continuing to be the nation’s least affordable rental market, Carly Heltzel and Kevin Painchaud report on how residents are trying to meet the challenge. “I’m seeing a situation where it’s very hard for locals from a certain income bracket to be able to stay here and support our community’s economy,” says one.

The building at Cedar and Locust streets in downtown Santa Cruz that was once home to 515 Kitchen & Cocktails is now for sale, Lily Belli reports, after more than three years of stalled construction and mounting costs. Owner Germaine Akin cited escalating city requirements as key reasons for halting the project.

The U.S. Environmental Protection Agency has reached an agreement with Texas-based Vistra Corp. to remove lithium-ion batteries damaged by the massive fire at its Moss Landing battery facility in January, Tania Ortiz reports. The feds will have complete oversight, and could take over the cleanup and disposal if it’s not up to standard.

The rail and trail are again in focus in Lookout’s Community Voices opinion section, with Will Mayall arguing that the 2022 defeat of the trail-focused Measure D doesn’t mean that voters have endorsed a multibillion-dollar effort to build passenger rail.

To the headlines …

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Credit: Alison Gamel

When momentum meets politics: How Pajaro River levee funding is struggling for priority in Trump’s Washington

Despite bipartisan support and urgency following the 2023 breach of the Pajaro River levee, phase-two funding for its $600 million replacement project was omitted from federal budgets, raising concerns over delays and political interference. More here from Christopher Neely.

Credit: Kevin Painchaud / Lookout Santa Cruz

How people afford to live in Santa Cruz County’s costly housing market

In interviews, Santa Cruz County locals share their creative survival strategies in the nation’s least affordable housing market, where a two-bedroom apartment requires an $81-per-hour wage. Read more from Carly Heltzel and Kevin Painchaud.

Credit: Kevin Painchaud / Lookout Santa Cruz

Another busy morning around Santa Cruz County, and if you’re peering ahead to the weekend, you’ll want to stay tuned for what’s still coming from Lookout. Man-about-town Wallace Baine will be along in a bit with recommendations for things to do all over plus news and notes from our bustling arts & culture scene,t all in the form of Weekender – one of the many Lookout newsletters and breaking news alerts you can sign up for here. More ways to stay current on our award-winning local coverage include social media, where you can connect with Lookout on Facebook, Twitter, Instagram, Threads and Bluesky, and downloading the Lookout Santa Cruz app from the Apple App Store or Google Play Store.

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Thanks for reading – be good, and come on back Friday.

Will McCahill

A veteran jack-of-all-trades journalist who is Lookout’s copy editor, writes and compiles Morning Lookout newsletter and produces Lookout’s other editorial newsletters and helps run Lookout’s social...