Bistro Laurent in Paso - French restaurant that's been there for a million years. Good food and wine list.
Chris Cherry's place across the street, Villa Creek, is also good, if a little more rambunctious.
Sadly, the best Paso restaurant, especially from a wine geek persepective, Alloro, is no longer in business.
I don't get up there enough to have the names commited to memory, but if you walk around downtown Paso, you'll find one or two taquerias that do a fine job - the kind of place you'll recognize when you see it.
There's also a place called Panolivo - nice breads and other baked goods.
You're a short ride from Morro Bay - where the Black Cat Bistro has a good reputation. And in Cayucas, there's also Hoppe's Garden Bistro. (what is it about bistros up there, anyway?)
There's a newish, fancy schmancy hotel in Atascadero, the name of which I am blanking on right now - it'll come to me. They spent plenty upgrading the place though - they might have some decent food there. Don't know much else in Atascadero.