Diablo Canyon Power Plant and School Funding
(This page is an overview/FAQ. For more thorough discussions, see our pages on DCPP tax revenue and DCPP decommissioning)
Important things to know:
PG&E is ending its payments to SLCUSD after the 2025-26 school year, even though DCPP is staying open.
PG&E claims it will owe no property tax on DCPP after 2025.
Combined, this would result in $6.5 million in lost revenue for our schools.
Diablo Canyon Nuclear Power Plant (DCPP) is the only operating nuclear power plant in California, and our community bears the unique burdens and benefits that come with it.
PG&E has been vocal about how DCPP supports our local schools. And while DCPP employs 1,800 local residents, its property tax bill for DCPP has fallen by nearly $17 million over the last 9 years.
When DCPP was scheduled for decommissioning in 2016, PG&E recognized the importance of PG&E’s ongoing support, and came to a joint agreement providing SLCUSD with over $4 million annually, ensuring adequate school funding until DCPP’s scheduled shutdown in 2025.
There are several ways PG&E could continue supporting our kids. The easiest would be to simply donate the amount of its Community Impacts payment to the school district. There is no legal reason PG&E couldn’t make that donation today, right now.
As long as Diablo Canyon Nuclear Power Plant (DCPP) remains open, we believe PG&E has a responsibility to do the right thing and not walk away from its commitment to our community. The plant directly affects local families, and its continued operation should come with meaningful investment in the students impacted.
What Does Diablo Canyon have to do with school funding?
Since Diablo Canyon Nuclear Power Plant (DCPP) opened, it has played a major role in funding local services through property tax revenue and, starting in 2016, payments as part of a Community Impacts Mitigation Program (CIMP).
As part of the CIMP, SLCUSD has been receiving over $4 million per year to help support students and schools. However, PG&E will stop making these payments after 2025, leaving a significant gap in funding that directly impacts our classrooms.
Is DCPP shutting down?
NO. The plant was originally scheduled to close in 2025, but in 2022 California passed Senate Bill (SB) 846, authorizing PG&E to keep the plant operating until 2030.
If DCPP is staying open, why are PG&E’s payments to SLCUSD ending?
The payments to SLCUSD and SLO County were allowed to lapse under SB 846, even though other elements of the CIMP were continued indefinitely.
Why should PG&E continue making payments to SLCUSD?
No other school nurses in California need to stock up on potassium iodide pills.
No other California school bus drivers need to memorize routes to the closest Decontamination Centers.
No other California citizens live in nuclear Protective Action Zones.
No other children in California go to school near active nuclear reactors.
What’s more, PG&E has now resorted to using accounting gimmicks in an attempt to skirt its property tax obligations and support for the community that hosts DCPP.
DCPP certainly provides economic benefits to our community, but there are serious impacts that PG&E, as a neighbor acting in good faith, should recognize and support. As long as DCPP remains open, PG&E has a responsibility to keep supporting our schools, and not walk away from its commitment to SLCUSD.
Is there a way for PG&E to continue its support for SLCUSD?
YES. There are several ways PG&E could continue supporting our kids. The easiest would be to simply donate the amount of its Community Impacts payment to the school district. There is no legal reason PG&E couldn’t make that donation today, right now.
PG&E receives billions of dollars in taxpayer and ratepayer subsidies to operate DCPP, and in 2024 its shareholders made $2.75 billion in profits. PG&E has the resources to sustain this commitment. Our students should not be asked to do more with less while the company earns record profits in our backyard.
What can the community do to help?
Spread the word! Sign up for our mailing list, volunteer a bit of your time, talk to other parents, and show local officials you are paying attention. We will be implementing a coordinated campaign to make sure our voices are heard, so outreach is essential.
PG&E has no legal obligation to our kids, but the company often highlights its support for local schools in marketing materials and legal filings. We need to hold PG&E accountable to match those words with real, sustained investment in our community.
Does financial support from PG&E mean parents have to support nuclear power and extended operation of DCPP?
NO. In fact, SLCPIN has no official position on whether DCPP should remain open. PG&E has tried to tie school funding to legislation about the plant’s future, but that debate is years away. What matters is that DCPP is operating now. Funding for our schools is needed now.
Want to learn more?
Check out our rundowns on DCPP and property taxes, the DCPP decommissioning process, relevant state legislation, school funding, and the SLCUSD budget process.