WORKING DRAFT. City of Long Beach Economic Development Commission. 10-Year Blueprint for Economic Development NOTES
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1 WORKING DRAFT City of Long Beach 10-Year Blueprint for Economic Development NOTES
2 Acknowledgements Randal Hernandez, Chair Becky Blair, Vice Chair Blair Cohn, Commissioner Frank Colonna, Commissioner Michelle Molina, Commissioner Lincoln Bauer, Commissioner Walter Larkins, Commissioner Ralph Holguin, Commissioner Bobby Olvera Jr., Commissioner Cyrus Parker-Jeannette, Commissioner Kristi Allen, Commissioner Organizations and City Departments Council of Business Associations Downtown Long Beach Alliance Bixby Knolls Business Improvement Association Long Beach Chamber of Commerce The Nonprofit Partnership Long Beach City College CAED Port of Long Beach Pacific Gateway Workforce Investment Network Los Angeles Economic Development Corporation California State University, Long Beach Emissary Media Group Building Healthy Communities: Long Beach Long Beach Convention and Visitors Bureau Port of Long Beach Pacific Gateway Workforce Investment Network City Manager s Office Mayor s Office Department of City Attorney Department of Financial Management Department of Development Services Department of Public Works Department Economic and Property Development Department of Technology and Innovation Subject Matter Expert Panelists Kimberly Ritter-Martinez, Economist, LAEDC Tom Bowman, President, Bowman Change, Inc. Michelle Molina, Managing Partner, Millworks Rodric David, CEO, Thunder Studios Lisa Callamaro, Literary Agent Will Pomerantz, VP Special Projects, Virgin Galactic Kraig Kojian, President and CEO, DLBA Lou Anne Bynum, Executive VP, LBCC CAED Chad Van Alstine, VP, The Grupe Company Jan Van Dijs, Urbana Development Kent Peterson, VP, P2S Engineering, Inc. Noel Hacegaba, Managing Director of Commercial Operations and Chief Commercial Officer at POLB Leah Goold-Haws, Director of Global Trade and Logistics at Long Beach City College Bryan Sastokas, Chief Information Officer and Director of Technology & Innovation Brett Yakus, Business Services Officer Carrie Tai, Current Planning Officer Christopher Koontz, Advance Planning Officer Oscar Orci, Deputy Director of Development Services Truong Huynh, General Superintendent Special Thanks Jack Smith, Resident Jessica Schumer, Resident 2
3 Table of Contents I. Vision II. Business Assistance III. Jobs & Education IV. Development Environment V. Engines of Growth VI. Quality of Life VII. Economic Cooperation VIII. Emerging Communities IX. Implementation Process X. References & Citations **THE ECONOMIC DEVELOPMENT COMMISISON HAS NOT FORMALLY ADOPTED ANY OF THE RECOMMENDATIONS OUTLINED IN THIS WORKING DRAFT*** 3
4 I. Vision The purpose this report is to advance the vision of Long Beach as a city of opportunity for workers, investors and entrepreneurs. The policy recommendations in the following Blueprint for Economic Development lay-out the broad focus areas of economic development, with clear and measureable objectives the City and its partners will have to accomplish over the next 10 years to make economic opportunity accessible for all. Focus areas include: I. Business Assistance II. Jobs & Education III. Development Environment IV. Engines of Growth V. Quality of Life VI. Economic Cooperation VII. Emerging Communities Objectives represent key measures of success that will be used by policy makers, members of the community, and by City staff to track day-to-day progress toward the economic vision we have for our City. Objectives include: I. Increasing the number of businesses II. Increasing new business starts III. Increasing the number of jobs IV. Decreasing the unemployment rate V. Increasing median household income VI. Increasing access to the internet VII. Increasing access to capital VIII. Increasing investment IX. Increasing trade Following the adoption of the Blueprint, the City will work with its partners to invest in specific activities that advance progress in these key objectives, and publically report progress ongoing. 4
5 II. Business Assistance Goal: increase the number and size of businesses in the City of Long Beach. Increase number of active business licenses Increase number of new business starts Reduce cost of doing business Reduce average days to approval for business licensing Increase small business confidence in City Increase number and value of small business loans secured 1. Integrate and reinforce business assistance and support resources. 2. Facilitate and strengthen communications between existing network of business support organizations. 3. Commit to adopting best practices from other cities around the country. 4. Invest in the development of new business improvement districts. 5. Increase proactive outreach to help retain and expand businesses of all sizes. 6. Augment access to capital by expanding outreach and marketing efforts to capital sources and attracting capital investors and lenders for all stages of business development. 7. Connect small businesses to information and resources. 8. Proactively engage the local business community. 5
6 III. Jobs & Education Goal: Invest in our workforce, attract high-wage jobs, and increase employment opportunities for residents. Increase number of quality jobs in the city Reduce unemployment rate Increase job participation rate Increase average wages Increase high school graduation rate Increase number of job placements Increase the number of university graduates that reside in the City after graduation 1. Retain and expand the existing job base while pro-actively attracting new businesses, industries, and investment. 2. Invest in the current workforce to train them for higher skilled, higher paying jobs. 3. Leverage business support partners to prepare and retain a qualified workforce to attract businesses that provide higher-wage jobs. 4. Develop a strategy to retain the talent produced at our local colleges and universities. 5. Improve high school graduation, college matriculation, and postsecondary attainment rates. 6. Establish vehicle to assess workforce needs of high growth industries and sectors, and to understand the needs of established local businesses. 7. Work with educational and workforce partners to align education programs and pipelines to needs of high growth industries and sectors. 8. Increase access to vocational education, partner with the private sector, and create a long term strategy to increase vocational educational opportunities citywide. 9. Extend the Long Beach Promise to include job placement. 6
7 IV. Development Environment Goal: Create more responsive and streamlined City processes to grow investment and development in the city. Increase the number of building permits Reduce the cost of development (building permits and impact fees) Reduce average days to approval for entitlement Reduce the number of inspections per permit issued Increase the total value of construction Reduce commercial vacancy rate 1. Make Long Beach the most affordable place to do business (reduce costs and confusion associated with zoning, permitting, business licensing, school fees, incentives, and per employee fee). 2. Promote education of the development process, transparency, and the culture of yes. 3. Strengthen dialogue with development community for ongoing improvement to the process for property development (from decision making to approval process). 4. Provide attractive, high-quality infrastructure (including utilities, connectivity, mobility) to attract private sector investment and development. 5. Leverage partners (business associations, commercial brokers, utilities, and enterprises) to attract investment. 6. Increase more public/private partnerships. 7. Establish programs and events that promote interaction between staff and potential investors. 8. Review parking requirements that prevent business growth. Consider reducing and rightsizing parking requirements. 9. Work with Planning Commission to establish more specific plans (i.e., Downtown Plan) that standardize and empower staff to streamline the development process. 10. Encourage City leadership to conduct economic impact assessments of new ordinances. 7
8 V. Engines of Growth Goal: Strengthen established industries and grow emerging sectors. Increase total number of jobs by key industry cluster Increase number of employers by key industry cluster Increase total investment by key industry cluster Increase number of traded industry employers Increase number of jobs in clean energy and tech sectors 1. Develop an approach to monitor, understand, and implement strategies that increase the number of firms in key industries and emerging sectors (e.g. healthcare, hospitality, trade and logistics). 2. Create a data-driven plan to identify and define high growth industries and sectors, to inform decision making and drive investments. 3. Promote awareness of existing and new businesses in key industries and emerging sectors. 4. Nurture creative/innovation economy by leveraging creative partners including the university with a focus on clean energy and technology development. 5. Empower partners (e.g. Chamber, BIDS, SBDC) to attract and grow small businesses that support key industries. 6. Partner effectively to increase global connectedness, international business, and traded industries. 7. Prioritize investments in industries and sectors that provide higher paying jobs. 8
9 VI. Quality of Life Goal: Enhance our quality of life. Reduce crime rate citywide Increase walk score (walkscore.com) Increase bike score (walkscore.com) Increase investment in public art Increase public parkland per 1,000 people Reduce number of residents commuting outside city for work Increase percentage of children and adults with health insurance Reduce daily homeless population 1. Make our communities more desirable places to live. 2. Ensure public safety across all of our unique neighborhoods. 3. Improve active transportation (walkability, bikeability) infrastructure across all of our unique neighborhoods. 4. Promote healthy living by expanding recreational activities and encouraging active lifestyles. 5. Encourage and expand cultural and artistic amenities that celebrate our diversity. 6. Invest in homeless services that result in permanent housing for veterans and homeless individuals. 7. Promote access to healthcare, particularly mental health care services. 8. Implement development strategies that promote local jobs-housing balance. 9
10 VII. Economic Cooperation Goal: Advance citywide and regional economic cooperation. Increase investment in local businesses Increase foreign direct investment Increase perception of Long Beach as business friendly Increase internet access for businesses and residents 1. Building upon the city s economic foundations and existing resources, improve and enhance current business development and job creation efforts to expand opportunities for all residents. 2. Establish a formal partnership for innovation and entrepreneurship between the City, university, and industry to promote economic opportunity. 3. Establish a public-private Long Beach Economic Development Corporation (EDC) to engage cross-sector partners to increase business retention, attraction and expansion. 4. Improve awareness of existing city services, incentives and business development programs through a citywide coordinated marketing campaign. Develop a business attraction marketing campaign in the future. 5. Increase access to highly developed technology across the city to facilitate job growth whether with home-based businesses, corridor small businesses or mid-size manufacturing. 6. Complete SWOT analysis and strategic plans for the city s economic engines by establishing industry cluster working groups to increase coordination and communications. 7. Take a leadership role in advancing policies and programs that increase business and job opportunities throughout the region. 8. Partner with regional agencies to promote foreign direct investment and trade. 10
11 VIII. Emerging Communities Goal: Expand opportunities for economic growth in emerging (low-income) communities to narrow income inequality. Increase number of under-represented businesses Decrease unemployment rate disparity Increase access to capital for under-represented businesses Increase investment in low-income corridors 1. Develop specific geographic-based plans and strategies to attract new investment, business formation, and job creation with a focus on higher wages. 2. Develop corridor development strategies to assess economic strengths, weaknesses and opportunities of emerging low-income communities. 3. Assess specific incentives, tax rebates, planning waivers, public investments, etc. that could be targeted to specific geographic corridors. 4. Determine the value and benefit of establishing BIDs in these corridors to promote cooperation and pooling of resources. 5. Assess the value of establishing Community Revitalization & Improvement Areas (CRIAs)** or Enhance Infrastructure Financing Districts (EIFDs) in these corridor neighborhoods. 6. Focus small business technical assistance resources in these corridors with particular focus on engaging ethnic entrepreneurs. 7. Establish multi-purpose small business assistance centers within the corridor regions. 8. Enhance skills for residents in these communities by delivering job training resources directly in these neighborhoods. 9. Determine if sub-marketing strategies would be effective in differentiating the unique culture of these corridors reflected in the diversity of businesses, employees and products. 11
12 IX. Implementation Process The development of the Blueprint for Economic Development was a collaborative effort involving 23 public meetings, 25 individual listening sessions, and discussions with 19 subject matter panelists. The focus areas, goals, and key objective represent aspirational policy goals to move the city towards its vision as the city of opportunity for workers, investors, and entrepreneurs. To move the key objectives toward this vision, the following implementation process is recommended: 1. Distribute Blueprint to City Council, City staff and partners, and encourage alignment with economic development goals and objectives. 2. Work with City staff and partners to develop a Blueprint work plan, including specific activities and investments, and timeline that will advance key objectives. 3. Develop an online platform for tracking and reporting performance for each of the key objectives for economic development. 4. Provide regular updates to the, Economic Development and Finance Committee, and City Council. 5. Create a communications plan to create awareness and distribute the Blueprint to community, research, investor, and industry partners; including multiple formats and languages to reach diverse stakeholder groups. 12
13 X. References & Citations The Commission would like to thank authors of the following reports and presentations that were reviewed as part of the Blueprint development process: Beacon Economics, Economic Development Support Analysis, Part I: Economic Overview, October 18, Kleinhenz, Dr. Robert, Economic Development Support Analysis, Part II: Industry Clusters Presentation, December 13, Los Angeles County Economic Development Corporation, Considering the Minimum Wage Policy in the City of Long Beach: Theory, Practice and Potential Implications, February Los Angeles County Economic Development Corporation, OTIS College of Art and Design, 2015 Otis Report on the Creative Economy, November Los Angeles County Economic Development Corporation, Los Angeles County Strategic Plan for Economic Development. National League of Cities, 2014 Big Ideas for Small Business Report. Public Consulting Group, Pacific Gateway Workforce Investment Network Economic and Demographic Analysis, December 2, Schultz, Nick. Economic & Demographic Analysis Presentation, Pacific Gateway Workforce Investment Network Economic and Demographic Analysis, October 25, Other economic development strategic plans reviewed by the Commission: 2014 Seattle 10-Year Vision 2015 Santa Clarita Valley Economic Development Corporation Action Plan 2014 National League of Cities Big Ideas for Small Business Report 2016 Santa Ana Economic Development Strategic Plan 2012 Pasadena Economic Development Task Force Report 13
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