HomeMy WebLinkAbout05/02/1995, C-6 - CENTRAL COAST REGIONAL TECHNOLOGY ALLIANCE I'I��IMI�IIIII^�I�II�III MEETING DATE:
city or sar, ais oBispo -z- 9
COUNCIL AGENDA REPORT ITEM NUMBER:
FROM: Ken Hampian, Assistant City Administrative Officer
SUBJECT: Central Coast Regional Technology Alliance
CAO RECOMMENDATION
Adopt a resolution supporting the Central Coast Regional Technology Alliance (CCRTA) and
requesting approval of the CCRTA by the California Defense Conversion Council.
DISCUSSION
In order to address the strains caused by the reduction in national spending on defense, various
programs have been established at the federal and state levels of government. These programs
go beyond support to defense related industries, and include support in such areas as
manufacturing, tourism, education, environment, agriculture, and energy. In summary, the goal
is to help local economies transition away from a defense based economy through federal and
state programs designed to create new non-military jobs and businesses.
In order to access the programs, which include grants, technical assistance, access to information
and facilities, and partnership opportunities, it is necessary to form "a Regional Technology
Alliance (RTA)". Attached is further information concerning RTA's.
Locally, several organizations in Santa Barbara and San Luis Obispo Counties, including the
SLO Chamber of Commerce, have come together in a cooperative effort to form the Central
Coast Regional Technology Alliance. The formation of this RTA will require approval by the
California Department of Trade and Commerce, and consequently support for the concept by
cities within the two counties is being sought. Attached is a resolution which, if adopted, would
be forwarded to the State along with the formal application for the formation of the RTA.
Staff is recommending that Council adopt the resolution, since the formation of a RTA would
support the regions economy, and would be consistent with the Council's philosophy of
collaboration and cooperation with other organizations in solving various problems.
FISCAL EMPACT
The formation of the CCRTA will not involve City resources. Direct and indirect economic
benefits should accrue to the City, however, as a result of programs and support available
through the eventual efforts of a RTA.
ATTACEMIENTS
1. Chamber of Commerce letter
2. CCRTA fax sheet
3. Resolution
San Luis Obispo Chamber of Commerce
1039 Chorro Street s San Luis Obispo, California 93401-3278
(805) 781-2777 B FAX (805) 543-1255
David E. Garth, Executive Director
April 7, 1995
Dear San Luis Obispo County resident
The end of the Cold War created a new and challenging political and economic atmosphere,
eliminating or drastically reducing forty years of huge defense expenditures almost overnighL Areas that had
been strategically critical in the past became less important. Military staffing and weapons research were
reduced to a level that more realistically addressed conditions of the new world order.
Businesses that had been fueled by a vigorous program of military weapon development and
replacement either closed their doors,or started on the path to commercial peacetime production. The impact
of defense cuts strongly affected San Luis Obispo County,even though the major military centers of
California were located elsewhere. The result was a loss of jobs in the area,caused primarily from ripple
effects as California struggled with extremely high unemployment levels and a loss of real income.
The federal government,recognizing the huge strain defense spending cuts have had on all key
aspects of local economies,enacted legislation forming several commissions to address base closures and the
conversion of defense production to civilian commercial endeavors,as well as ways to"jump start"
economies affected by these changes. These programs are not limited to defense-related industries,but are
designed to assist key economic areas such as manufacturing,tourism,education,environment,agriculture,
and energy.
A regional technology alliance represents the key to participation in the various federal and state
defense conversion programs. The Central Coast Regional Technology Alliance(CCRTA)will be the
conduit through which applications for funding in San Luis Obispo and Santa Barbara counties will flow.
The CCRTA will provide information on available programs,assist in preparing applications,perform
evaluations,and render recommendations to state and federal agencies.
While a large corporation might be able to bear the burden and provide the internal expertise
necessary to generate an application for defense conversion funding,there is no doubt that small and medium
sized businesses cannot. Furthermore,the State of Califomia has expressed its intent to only fund
applications that originate in a sanctioned RTA region.
We have less than one month to submit our application to the State. With this letter,fact sheet,and
sample support letter,we are soliciting your support for this project Our conversations with Trade and
Commerce officials have suggested that the key to our proposal's success will be the level of community
support we are able to generate for the project.
It is a rare occurrence that multiple counties and cities have the opportunity to work together
toward a common goal and for the common good. Please pledge your support for the CCRTA,which
would create an estimated ten to fifteen thousand jobs in San Luis Obispo and Santa Barbara
counties.
n.
ACCREDITED
CHAMBER Of COMMERCE
Cf1AYRER Of COMMEn CE
ATTACHMENT1 IME O�IIEO STATEN
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Fact Sfie
I. The current economic condition of the Central Coast region continues to be sluggish and commercial space
programs at Vandenberg AFB are certain to be a major economic stimulus to both Santa Barbara and San Luis
Obispo counties.
II. The CCRTA will be a non-profit corporation representing the San Luis Obispo and Santa Barbara county region.
It will assist companies in the region to apply for and obtain state and federal grant fiords for a wide variety of
programs. These funds include defense conversion,base closure,base recovery,technology reinvestment,
economic development and other grant programs that could be used by companies within the CCRTA region.
III. The key aspects of the CCRTA are to(1)encourage development of new start-up companies in the region by
enabling access to grant funds-,(2)allow existing companies in the region to expand under the CCRTA program;
and(3)attract high-tech companies that would not locate in an area without an RTA Typical programs involve
product or process improvements and development,technology transfer,joint ventures and economic
enhancements. It is estimated that between 10,000 and 15,000 jobs could be created in the two counties as a result
of RTA activities.
IV. The CCRTA is not limited to commercial space programs. Programs involving manufacturing,agriculture,
tourism,education,environment,and energy,which are core activities of the region,also qualify.
V. Nme organizations have provided support and input to the organizational process and include the Chamber of
Commerce of Paso Robles,San Luis Obispo,Pismo Beach,Grover Beach,Arroyo Grande,Santa Mania and
Lompoc,as well as the Santa Maria Valley Economic Development Association and the Santa Barbara Industrial
Association. Many private organizations,universities and public entities have indicated their support for the
CCRTA and plan to sit on the organization's advisory board.
VI. The Western Commercial Space Center(WCSC),California's only spaceport authority,is a major supporter and
has provided valuable input to the CCRTA
VII. The CCRTA will develop new and existing programs and activities for each area in the region to create and retain
jobs,create new businesses,develop new commercial or dual-use products,establish industry partnerships and
consortia,demonstrate productivity enhancements within key regional industries,establish public and private
partnerships,commit industry support,participation and capital,leverage state,federal and private sector funds,
encourage participation of small businesses and minority,women and disabled-veteran owned businesses,and
provide work force training.
VIII. The state has provisions to provide up to$30,000 for CCRTA start-up and up to$250,000 for first year
operational costs. The provisions allow for subsequent funding but the intention is that the CCRTA will become
self-supportive. A percentage of matching funds are required from the region for start up and operational costs.
Business,govcnunent and organizations throughout the region arc being solicited for funding support. However,
letters of support,which are due to the San Luis Obispo Chamber by April 26,will not constitute a commitment to
participate in funding.
DC The process for approval of the CCRTA involves a detailed application to the California Trade and Commerce
• Agency Office of Strategic Technology. The process involves a strict review by the California Defense Conversion
Council and their approval is heavily weighted by regional support which can only be shown by letters of support.
X Regional Technology Alliances are presently operating in the regions of San Francisco,Los Angeles and San
Diego,where they have proved to have an significant impact on the local economy. Alliances in competition with
the CCRTA for approval include the regions of Sacramento,Central Valley,and the San
Bemardino/Riverside/Impeial counties.
ATTACHMENT 2 ��_ 2
:,,1�
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO,
CALIFORNIA, SUPPORTING THE CENTRAL COAST REGIONAL
TECHNOLOGY ALLIANCE
WHEREAS, commercial space programs at Vandenberg Air Force
Base are certain to be a welcome major economic stimulus to the
area; and
WHEREAS, the Central Coast Regional Technology Alliance
(CCRTA) , a non-profit association representing San Luis Obispo and
Santa Barbara counties, will assist companies in the region to
apply for and obtain state and federal grant funds for commercial
space and other programs; and
WHEREAS, Regional Technology Alliances are presently operating
in the regions of San Francisco, Los Angeles and San Diego; and
alliances under consideration with the CCRTA are the regions of
Sacramento, Central Valley, and the counties of San
Bernardino/Riverside/Imperial; and
WHEREAS, the CCRTA will develop programs and activities for
each area in the region to create and retain jobs; create new
businesses; develop new commercial or dual-use products; establish
industry partnerships and consortia; demonstrate productivity
enhancements within key regional industries in such areas as return
on investment, reduced cost, employee training, and equipment
upgrades; establish public and private partnerships; commit
industry support, participation, and capital; leverage state,
federal, and private sector funds; allow participation of small
business and minority, women- and disabled-veteran-owned
businesses; and provide work force training; and
WHEREAS, the CCRTA would not be limited to commercial space
programs; other programs involving manufacturing, agriculture,
tourism, education, environment, energy, and activities which are
core to the region would qualify; and
WHEREAS, the key aspect of the CCRTA is to attract high-tech
companies that would not locate in an area without a Regional
Technology Alliance process and allow existing companies in the
region to remain and expand under the CCRTA program process; and
WHEREAS, the organizations that have provided support and
input to the CCRTA are the Chamber of Commerce of Arroyo Grande,
Grover Beach, Lompoc, Paso Robles, Pismo Beach, San Luis Obispo,
and Santa Maria; the Santa Maria Valley Economic Development
Association; and the Santa Barbara Industrial Association; and
WHEREAS, numerous cities in San Luis Obispo and Santa Barbara
counties also support the CCRTA; and
ATTACHMENT 3
WHEREAS, the Western Commercial Space Center is a major
supporter of CCRTA, and their personnel have provided valuable
input to satisfy the CCRTA requirements; and
WHEREAS, the state has provisions to provide up to $30,000 for
CCRTA start-up and up to $250,000 for first year operational costs,
with the intention that the CCRTA will become self supportive;
NOW THEREFORE BE IT RESOLVED by the City Council of the City
of San Luis Obispo to support the CENTRAL COAST REGIONAL TECHNOLOGY
ALLIANCE and to respectfully request the approval of the CCRTA by
the California Defense Conversion Council.
PASSED AND ADOPTED at a regular meeting of the City Council
held on the day of , 1995.
CITY OF SAN LUIS OBISPO
By
Mayor
ATTEST:
By
City Clerk
APPROVED AS TO FORM:
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