If there’s one thing Nevada City knows well, it’s how to navigate change. Our little town has weathered everything from gold rush booms to wildfire scares — but this fall, the focus isn’t on Mother Nature. It’s on City Hall.
In late September, two key administrators—City Manager Sean Grayson and City Planner Lisa McCandless—left their positions, leaving many residents wondering what’s next for city operations, development projects, and the future of our small-town governance.
The Shake-Up at City Hall
On September 24, 2025, the Nevada City Council announced a mutual separation between the city and City Manager Sean Grayson, effective September 28. Just days earlier, City Planner Lisa McCandless had also exited her role, reportedly on September 19, for reasons not publicly disclosed.
During a closed session meeting, the Council appointed Joan Phillipe as interim City Manager—a familiar name who has previously served in the same capacity back in 2021. Her return is meant to stabilize city operations while a search for a permanent replacement gets underway.
You can read the official statement from the City on the Nevada City website and coverage by KNCO.
What the City Says
The official press release paints Grayson’s tenure as one of progress and modernization. Under his leadership, Nevada City:
– Implemented a community-driven Strategic Plan focused on transparency and long-term sustainability.
– Launched a formal Office of Emergency Services and pushed forward on fuels mitigation under Measure C.
– Oversaw major infrastructure and art initiatives, including the Nevada Street Bridge replacement, public art programs, and skatepark development.
– Secured more than $20 million in external funding for capital improvements and community projects.
– Modernized budgeting and internal processes to help staff and city departments function more efficiently.
The City framed his departure as a “mutual decision made from a position of strength.”
Still, the community is left with questions. There’s been no official explanation for why both Grayson and McCandless left within days of each other, or what this means for ongoing projects like ADU permitting, General Plan updates, and art installations that rely heavily on the Planning Department’s stability.
Local outlets like YubaNet have raised concerns about City Hall’s communication practices, urging more transparency during what feels like a pivotal time. Some residents have also pointed to growing frustration over city salaries, new administrative roles, and perceived disconnects between leadership and the community.
With both of these high-level departures, Nevada City now faces what could be a temporary slowdown in planning and development. But it also opens a window for fresh leadership and renewed direction.
What Comes Next for Nevada City
The immediate focus will likely be on stability and rebuilding trust—both within City Hall and with residents. Phillipe’s interim leadership offers a familiar hand at the wheel, but questions remain about who will permanently take the reins and how long the transition might take.
If there’s a silver lining, it’s that Nevada City has always found strength in its people. This is a town that thrives on participation—citizens who attend council meetings, write letters, and care deeply about how their local government functions. The upcoming months will test that civic spirit, but they’ll also give residents a chance to shape what comes next.
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