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Home My WebLink About7.1 Economic Development Strategy Frameworkr DUBLIN CALIFORNIA STAFF REPORT CITY COUNCIL Agenda Item 7.1 DATE: May 21, 2024 TO: Honorable Mayor and City Councilmembers FROM: Linda Smith, City Manager SU B.ECT: Economic Development Strategy Framework Prepared by: Rhonda Franklin, Management Analyst 11 EXECUTIVE SUMMARY: The City Council will receive a report on the framework for the update to the Economic Development Strategy and Economic Development Element to the General Plan. STAFF RECOMMENDATION: Receive the report and provide direction in preparing the update to the Economic Development Strategy and the Economic Development Element to the General Plan. FINANCIAL IMPACT: None. DESCRIPTION: On September 5, 2023, the City Council approved an agreement with Strategic Economics, Inc., to update the Economic Development Strategy and General Plan Economic Development Element (Project) which was originally developed and approved by the City Council in 2012. Since then, Staff and Strategic Economics, Inc. (Consultant) have completed a number of tasks as part of the Project. These items include: • Organizing and holding focus group meetings with members of the City Council, Staff, property owners/managers and brokers, regional agencies, business owners/managers, developers, and other stakeholders. • Developing and conducting online surveys with the business community and the community at large. • Gathering data relative to the Project. • Analyzing information from the focus group meetings, surveys, and data collection to Page 1 of 2 1 determine Dublin's strengths, weaknesses, opportunities, and threats. The Consultant has taken the information obtained from the above -mentioned efforts and developed a framework for the Economic Development Strategy and General Plan Economic Development Element. The framework intends to evaluate and refine the overarching recommendations, goals, objectives, strategies, and priorities for the Strategy and Element prior to preparing the final reports. The Consultant will present the framework to the City Council. STRATEGIC PLAN INITIATIVE: None. NOTICING REQUIREMENTS/PUBLIC OUTREACH: The City Council Agenda was posted. ATTACHMENTS: None. Page 2 of 2 2 May 20, 2024 SB 343 Senate Bill 343 mandates supplemental materials that have been received by the City Clerk's office that relate to an agenda item after the agenda packets have been distributed to the City Council be available to the public. The attached documents were received in the City Clerk's office after distribution of the May 21, 2024, Regular City Council meeting agenda packet. Item 7.1 3 r/ STRATEGIC ECONOMICS Item 7.1 Economic Deve opment Strategy and Economic Deve opment E ement Udate May 21, 2024 DUBLIN CALIFORNIA 4 Tonight's Presentation 1. Purpose and Overview 2. Process Timeline 3. Stakeholder Insights and Key Findings 4. Strategy Goals Overview 5. Questions & Feedback on Goals Es. 111111111lainumninlialr! 111111111011inumninglir iimmmonioniu7iMlini 1111001111111i0nloain UMW r, ono: rf:/z dmr., • MaiPIpl I ' ;uem, 4 I. nk - • dici . . • ••.` " • '44 110" AIL • K.:441 I • . • 1.14- di* IOW 61P • • About the Economic Development Element and Strategy MI ECONOMIC DEVELOPMENT STRATEGY • Implementation -oriented 5- to 1O-year plan • Guides and prioritizes work of the Office of Economic Development • Last updated 2012 ECONOMIC DEVELOPMENT ELEMENT • Part of the General Plan • Broader and longer -term policy direction • Guides all City actions • Last updated 2013 City of Dublin General Plan ECONOMIC DEVELOPMENT MENT ELEMENT Changing Conditions Drive a Need to Update the ED Strategy and Element 1. Rapid Population Growth 2. Economic transformations post- COVID, including changes in workplace dynamics 3. Shifts in retail trends and expansion of e-commerce 4. Emergence of new industries Population Growth in the Tri-Valley TOTAL POPULATION, 2000 TO 2021 100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 +20% +92% +25% +132% +4% 2000 2010 2021 Dublin -.-Livermore Pleasanton San Ramon +Danville Sources: U.S. Census Bureau, 2000, 2010, ACS 2017-2021; Strategic Economics, 2023. 8 Industry Growth in the Tri-Valley 2016 TO 2023 Job Growth, 2016-2023 150.0% 100.0c/o 50.0% -50.0% -100.0% • Dublin Tri-Valley ,`o� �G°`°�`°� °°° `moo, G°� �Go �\�o, °°ao� °�1`°� G°5 `�d, ao ao `o� ��°� Q�°° �°G °�° �,`° °r �� \�� `�� \ - 6 '`?\ a\° \tea • \�\ �a aQ_ moo• �° `°��. aka. \ ft> ,• 0 jo a� act` •c• �\�C` �-Q' °`Qi`� ` P. a °� a�`°�•tea f Q� a aQ- Q� ��`(P1/4N �� G\mod' G,°ex.k°�\* .1'o�.�� P LY `z° p • AA �°� •\G° • 5 ova , �° Or Q.k it oC\ Source: Lightcast Employment Q3 2023 Data Set; Strategic Economics, 2023 9 2012 Priority Areas and Examples of Current City Actions in Support of the Areas Economic Vibrancy Continued development and job growth Small Business Facilitate business expansion projects Eastern Transit Center Encourage new development, particularly commercial office and retail spaces Downtown Dublin Expedite progress toward the Downtown Vision Business visits and roundtables Business incentive and recognition programs Engaging with regional economic development efforts and organizations Maintaining responsive communications, including ongoing interactions with brokers and property owners Management of navigator and concierge programs Promotional campaigns, including a holiday gift guide, spotlight series and bi-monthly newsletters Support via grants, a mobile text program, and special events like a small business night at the farmer's market As -needed development support Coordination with Alameda County Surplus Property Authority Significant ongoing Downtown Dublin development support Actions/priorities not recognized in 2012: Significant ongoing Fallon Road ED Zone development support 10 Strategy and Element Process � Input September 2023 -January 2024 Mb Draft March 2024 -June 2024 Finalize June 2024 - September 2024 Data Analysis Research Focus Groups Online Community Survey SWOT Summary Strategy Framework Element Framework Economic Development Strategy Economic Development Element Ile 11 Outreach and Data Collection ANALYSES AND STAKEHOLDER ENGAGEMENT • Completed economic and market analyses • Industry opportunities • Regional market position • Retail performance CONDUCTED FOCUS GROUPS AND ONE-ON-ONE INTERVIEWS COMPLETED COMMUNITY SURVEY WITH 400+ RESPONSES COMPLETED BUSINESS COMMUNITY SURVEY Key Findings • Need for new or refreshed commercial/industrial buildings • Value & challenges of greenfield sites • Opportunity to rebrand as employment destination, attract more residents to local jobs • Importance of City relationships with businesses, property owners, developers Key Findings (continued) • Positive Opinions: • Variety of space that meets tenant requirements • Desirable demographic composition/trends • City Staff responsiveness • Variety of dining, drinking, and entertainment destinations • Concerns: • High/increasing taxes, rents, operating costs, City fees • Lack of a downtown, community gathering space • Awareness of City funding and incentives for local businesses • Availability of high -quality job opportunities compatible with residents Business Community Feed back "What kind of concerns does your business face in Dublin?" High or increasing local taxes and fees Crime High or increasing housing costs for myself or employees Increasing cost of commercial or industrial building rents or land in Dublin Automobile traffic congestion along major Dublin corridors Ability to meet electricity needs in Dublin Local government regulation and restrictions related to development Long employee commute times Challenges recruiting employees to work on -site Inadequate internet service speeds in commercial or industrial districts Lack of available space in Dublin for business relocation or expansion Inadequate internet service speeds in residential areas 0% 10% 20% 30% 40% 50% 60% Very Concerned ■ Somewhat Concerned Not at All Concerned Don't Know 15 Big Picture Conc usions Informing the Proposed ED Goals 1. Dublin's economy historically focused heavily on household -serving uses and government jobs, plus a variety of other headquarters / regional offices 2. Dublin is poised to build on its strong residential base and pivot toward more aggressive business/job growth in innovation -oriented industries 3. Industry specialization is somewhat limited, but opportunities include general professional and scientific services, computer technology, biomedical hardware/technologies, and some distribution and manufacturing 4. Split opportunities to balance reinvigoration of older infill areas and support for greenfield development 5. Opportunities to reinforce the attractive business environment: a) Modernize buildings, spaces, and districts b) Add amenities and create vibrant gathering places c) Rationalize retail organization across the City 16 Proposed Goals Innovation Growth Promote Investment Greenfield Development Commercial Vitality Hospitality Expansion Small Business Support Workforce Enhancement Goal 1: Grow businesses and employment in innovation -oriented and professional services industries Goal 2: Promote infill development and reinvestment in older retail, office, and industrial areas Goal 3: Ensure development of major greenfield opportunity sites Goal 4: Sustain and strengthen the health of Dublin's shopping, dining, and entertainment businesses Goal 5: Work with regional agencies to expand and highlight Dublin's potential as a regional hotel and hospitality destination Goal 6: Strengthen startup and growth opportunities for small businesses Goal 7: Enhance Dublin's workforce support and development systems to create opportunities for all members of the workforce 17 Economic Development Goals Goal 1: Innovation Growth Grow Businesses and Employment in Innovation -oriented and Professional Services Industries ❑ Especially computer technology and artificial intelligence, professional services, biomedical devices, and other R&D/advanced manufacturing ❑ Targeting existing business and industry organization engagement; crafting and promoting a relevant brand Goal 2: Promote Investment Promote Infill Development and Reinvestment In Older Retail, Office, and Industrial Areas ❑ Continue efforts to establish Downtown Dublin as a vibrant employment, retail, and community gathering space ❑ Further focus on Dublin Centre (ongoing), Hacienda Crossings, industrial inventory Goal 3: Greenfield Development Ensure Development of Major Greenfield Opportunity Sites ❑ Fallon Road EDZ & Eastern Dublin BART efforts ❑ Infrastructure, zoning reviews 18 Economic Development Goals Goal 4: Commercial Vitality Sustain and Strengthen the Health of Dublin's Shopping, Dining, and Entertainment Businesses ❑ Zoning changes, cost reductions, monitoring, continued proactive engagement with businesses & brokers Goal 5: Hospitality Expansion Work With Regional Agencies to Expand And Highlight Dublin's Potential as a Regional Hotel and Hospitality Destination ❑ Regional hotel attraction efforts; advocacy fora multiuse venue Goal 6: Small Business Support Strengthen Startup And Growth Opportunities For Small Businesses ❑ Enhance City processes and marketing of Dublin's services ❑ Continue assessing performance of events and programs Goal 7: Workforce Enhancement Enhance Dublin's Workforce Support and Development Systems to Create Opportunities For All Members of the Workforce ❑ Collaborate with local & regional organizations & investments 19 Staff Recommendation Provide direction in preparing the update to the Economic Development Strategy and Element A STRATEGICECONOMICS Discussion and Input • What specific questions or concerns do you have regarding the analysis? • What specific questions or concerns do you have regarding the proposed goals? • Are there specific implementation steps or actions you would recommend incorporating into the strategies? A STRATEGICECONOMICS