Rancho Palos Verdes Approves Nearly $56M For Landslide Recovery

RANCHO PALOS VERDES, CA — The Rancho Palos Verdes City Council unanimously approved nearly $56 million in federal funding Wednesday, clearing a major financial hurdle for a long-awaited property buyout program as the city continues battling the Portuguese Bend landslide.

The 5-0 vote Nov. 4 authorized the acceptance and appropriation of $55,964,462 in previously awarded federal grants, including more than $54 million to help acquire 27 properties severely affected by the continuing land movement.

Another $1.94 million will support permanent electrical infrastructure for deep dewatering wells, which pump groundwater from the unstable hillside in an effort to slow the landslide.

The approval follows an Oct. 14 announcement that the Federal Emergency Management Agency had formally awarded funding for the first two rounds of the city's voluntary buyout program.

Buyouts Move Forward After Two-Year Wait

Of the newly appropriated funds, $52.15 million is designated for property acquisitions, $1.88 million for administering the buyout program and $1.94 million for the dewatering infrastructure, according to the city's Nov. 4 council agenda.

Community Development Director Brandi Forbes told council members that the city held an orientation session Oct. 29 for the 27 selected property owners, nearly two years after the program was announced.

The first round covers 22 properties, including 16 red-tagged and six yellow-tagged homes. Five additional properties were selected in a second round. The city is now preparing purchase offers and environmental assessments ahead of demolition and site restoration.

Because FEMA funding is provided through reimbursements, officials expect to acquire properties in small groups over the coming months. Completing all 27 acquisitions and demolitions could take several years.

Under the program, homeowners receive compensation based on pre-disaster property values, with a 25% cost share generally deducted from their final payment. A proposed third round covering approximately eight additional properties remains on a waiting list for $19 million in federal funding.

Additional Spending Raises Questions

The council also approved approximately $3.05 million in additional engineering and environmental services appropriations to advance future landslide stabilization projects. That includes a $2.9 million increase to an existing agreement with Geo-Logic Associates and $150,937 for LSA Associates.

The spending prompted questions about the city's finances and whether major contractual commitments should be made shortly before newly elected council members take office. During public comment, David Chura urged the council to defer certain 2027 commitments so incoming members could review the contracts.

City staff acknowledged that the additional appropriations exceeded the adopted budget and would draw on available fund balances, although previously unspent funding could offset much of the expense. Officials nevertheless warned that delays in completing engineering designs and environmental work could jeopardize tens of millions of dollars in potential federal grants.

Landslide Remains Active

The decisions come as Rancho Palos Verdes faces an increasingly costly recovery effort. City officials project nearly $75 million in landslide-related expenditures between 2022 and June 2027, before accounting for the additional appropriations approved Wednesday.

Although extensive groundwater pumping has helped slow movement in parts of the landslide complex, officials reported that some western areas were still moving between 1 and 3 inches per week. The city continues pursuing additional state and federal assistance for long-term stabilization, but significant funding and local matching obligations remain unresolved.

Further information, including monitoring data and infrastructure updates, is available through the city's Land Movement Updates page.

Related:

• Nearly 600 Million Gallons Pumped From Palos Verdes Landslide
• Palos Verdes Weighs $6M Expansion Of Landslide Engineering Contract
• $54M In Federal Grants Clears Way For 27 Palos Verdes Landslide Home Buyouts