Living in California and having watched racing at Laguna for virtually my entire life, there are several issues in play, apart from what has been mentioned above.
While I think that some issues could be solved, it’s possible that they won’t, due to the Dorna issues mentioned.
The community is used to racing and the $$ it brings. The track is in a bowl away from the city so the noise issue is reduced. There is plenty of racing there and there has been for years. Rainey’s organization is doing ok there.
There is room to expand the track and make it safer. It could be done. With good design, there is no reason the track would have to suffer. The expense of doing so would be the issue. Who is going to pony up for that?
The other major issue I see is twofold. One, a major airport is quite far away.
Two, there is really not much lodging in the Monterey area to accommodate many more visitors.
Carmel and Pebble Beach are snooty. Monterey is actually pretty down to earth for a tourist town. Neighboring Salinas and surrounding areas are all agriculture.
Conclusion: much as I would like to see improvements at every level for that track, I don’t see much of a chance for it happening unless Penske or Haas or some other really wealthy racing enthusiast organization gets involved.