Outcrops of shallow marine sedimentary rocks of the Neogene Purisima Formation and Santa Cruz Mudstone occur throughout the Santa Cruz Mountains and along the coast of Santa Cruz and San Mateo counties in California. Within the Santa Cruz Mountains, the Purisima Formation has been extensively folded and offset by reverse faults. Along the coast, the Purisima Formation is cut by the San Gregorio Fault Zone. Previous paleomagnetic studies have shown that vertical axis rotation has occurred within some parts of the San Gregorio Fault Zone. As part of a kinematic study of the San Gregorio Fault Zone, this paleomagnetic investigation of the Purisima Formation and Santa Cruz Mudstone was conducted to determine the extent of vertical axis rotation. The characteristic paleomagnetic directions of the Purisima Formation and Santa Cruz Mudstone, which we interpret as the primary directions, indicate that a clockwise vertical axis rotation of 35¿ to 60¿ has occurred throughout the San Gregorio Fault Zone, whereas no rotation has occurred away from the fault zone. This result suggests that vertical axis rotation is fundamentally related to shear across the San Gregorio Fault Zone. Our work also indicates that while the Purisima Formation and Santa Cruz Mudstone along the coast have retained their primary magnetizations, the Purisima Formation within the Santa Cruz Mountains has been remagnetized after folding. ¿ American Geophysical Union 1995